Question
Following is information of cash transactions of Tiger Inc. for the year of 2019. Prepare a statement of cash flow using direct method. ( Numbers
Following is information of cash transactions of Tiger Inc. for the year of 2019. Prepare a statement of cash flow using direct method. (Numbers are in thousands)
Cash at beginning of period | $50,000.00 |
Cash payment for income taxes | $0.00 |
Cash payment for interest expense | $30,000.00 |
Cash payment for operating expenses | $75,000.00 |
Cash payment for purchase of building | $300,000.00 |
Cash payment for purchase of equipment | $15,000.00 |
Cash payment to suppliers | $200,000.00 |
Cash receipts from customers | $500,000.00 |
Cash received from issuance of common stock | $150,000.00 |
Cash received from sale of equipment | $45,000.00 |
Payment of cash dividends | $0.00 |
Using direct method, prepare a statement of cash flow for the year of 2019 below -
Cash flows from operating activities |
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Cash receipts from customers |
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Less: Cash payments |
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To suppliers |
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For operating expenses |
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For interest expense |
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For income taxes |
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Net cash provided by operating activities |
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Cash flows from investing activities |
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Sale of equipment |
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Purchase of building |
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Purchase of equipment |
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Net cash used by investing activities |
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Cash flows from financing activities |
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Issuance of common stock |
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Payment of cash dividends |
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Net cash used by financing activities |
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Net increase in cash |
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Cash at beginning of period |
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Cash at end of period |
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