Question
For each of the following indicate how the item would be presented on an INDIRECT CASH FLOW statement. The tax rate is 20%. No change
For each of the following indicate how the item would be presented on an INDIRECT CASH FLOW statement. The tax rate is 20%. No change expected in the future. Question.
1) The cumulative temporary difference of $50,000 related to a deferred tax liability related to contingencies to be paid next year would impact the operations section by what amount.
2) The balance in Investment in Kane Co. Stock increased $12,000 as a result of using the equity method.No new amounts of Kane Stock were purchased in the current year.
3) Issuance of a stock dividend increased common stock $40,000 and APIC-CS by $16,000.
4) If a security available for sale increase in FMV during the year, it would be shown on the Indirect Cash Flow as:
5) If a company had an overall accrued netlossfor a given year, then depreciation expenseof $40,000 would be shown in what manner in an indirect cash flow?
6) If a defined benefit pension plan's PBO was determined by the company's actuaryto be LESS than the company's record, their cash flow would show an adjustmentin that year on the indirect cash flow of:
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started