Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Gerbera Inc. (GI) acquired Daisy Co. (DC) on 31 March 20X7, midway through the accounting year ended 30 September. The consolidated statement of cash flows

Gerbera Inc. (GI) acquired Daisy Co. (DC) on 31 March 20X7, midway through the accounting year ended 30 September. The consolidated statement of cash flows is prepared using the indirect method. GI's consolidated statement of financial position for the years ended 30 September 20X7 and 20X8 include: 30 September 20X8 30 September 20X7 $ $ Current assets Inventory 526,200 427,560 On 31 March 20X7, DC's inventory is $96,250. What is the cash flow adjustment to operating activities within the consolidated statement of cash flows to reflect the movement in inventories? Solution A.$2,390 increase. B.$2,390 decrease. C.$194,890 increase. D.$194,890 decrease

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting Tools for Business Decision Making

Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso

5th Edition

9781118560952, 1118560957, 978-0470239803

More Books

Students also viewed these Accounting questions

Question

=+8.8. Suppose that S = (0,1,2 ,... ], Poo =1, and f,o>0 for all i.

Answered: 1 week ago

Question

=+ (a) Show that P(U"_[X ,, = j i.o.]) =0 for all i.

Answered: 1 week ago