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Here is a comparative balance sheet for Matsui Company: MATSUI COMPANY Comparative Balance Sheet December 31 Assets 2012 2011 Cash $68,000 $22,000 Accounts receivable 85,000
Here is a comparative balance sheet for Matsui Company: MATSUI COMPANY Comparative Balance Sheet December 31 Assets 2012 2011 Cash $68,000 $22,000 Accounts receivable 85,000 76,000 Inventories 170,000 189,000 Land 80,000 100,000 Equipment 260,000 200,000 Accumulated Depreciation (66,000) (32,000) Total $597,000 $555,000 Liabilities and Stockholders equity Accounts payable $39,000 $47,000 Bonds payable 150,000 200,000 Common stock ($1 par) 216,000 174,000 Retained earnings 192,000 134,000 Total $597,000 $555,000 Additional information: Net income for 2012 was $93,000. Cash dividends of $35,000 were declared and paid. Bonds payable amounting to $50,000 were redeemed for cash $50,000. Common stock was issued for $42,000 cash. No equipment was sold during 2012. (a) Complete the statement of cash flows for 2012 using the indirect method. (If the amount reduces cash flow put either a negative sign preceding the number, e.g. -45 or parenthesis, e.g. (45). List amounts from largest positive to smallest positive followed by most negative to least negative, e.g. 15, 14, 10, -17, -5, -1.) MATSUI COMPANY Statement of Cash Flows For the Year Ended December 31, 2012 Cash flows from operating activities Net income $ Adjustments to reconcile net income to net cash provided by operating activities $ Net cash by operating activities Cash flows from investing activities Net cash by investing activities Cash flows from financing activities Net cash by financing activities Net in cash Cash at beginning of period Cash at end of period $ (b) Compute these cash-basis ratios: (Round each answer to 2 decimal places, e.g. 2.10.) Current cash debt coverage times Cash debt coverage times
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