I need some help with homework accounting 211 chapter 12 problems

Chapter 12 pr0blems Lansing Company's 2015 income statement and selected balance sheet data (for current assets and current liabilities) at December 31, 2014 and 2015, follow. LANSING COMPANY Income Statement For Year Ended December 31, 2015 Sales revenue $ 60,000 Expenses Cost of goods sold 19,000 Depreciation expense 4,500 Salaries expense 11,000 Rent expense 2,000 Insurance expense 1,400 Interest expense 1,900 LANSING COMPANY Selected Balance Sheet Accounts At December 31 Utilities expense Net income 2014 1,500 $ 18,700 Accounts receivable Inventory Accounts payable Salaries payable Utilities payable Prepaid insurance Prepaid rent LANSING COMPANY Cash Flows from Operating ActivitiesIndirect Method For Year Ended December 31, 2015 Cash flows from operating activities: Net income Adjustments to reconcile net income to net cash provided by operations: Depreciation expense Accounts receivable Inventory Accounts payable Salaries payable Utilities payable Prepaid insurance Prepaid rent Net cash provided by operating activities 2. 2015 $ 3,700 $ 3,830 950 869 1,100 1,190 460 360 100 70 120 140 140 110 Chapter 12 pr0blems Forten Company, a merchandiser, recently completed its calendar-year 2015 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses. The company's income statement and balance sheets follow. FORTEN COMPANY Comparative Balance Sheets December 31, 2015 and 2014 2015 Assets Cash Accounts receivable Inventory Prepaid expenses $ Total current assets Equipment Accum. depreciation Equipment Total assets Liabilities and Equity Accounts payable Short-term notes payable 68,039 $ 71,500 78,425 60,625 260,656 1,580 231,800 2,075 408,700 366,000 161,475 119,000 (52,750) (59,000) $ 517,425 $ 426,000 $ 58,175 $ 111,050 Total current liabilities Long-term notes payable Total liabilities Equity Common stock, $5 par value Paid-in capital in excess of par, common stock Retained earnings Total liabilities and equity 2014 $ 9,800 5,900 67,975 116,950 24,725 42,500 92,700 159,450 166,750 149,750 51,000 0 206,975 116,800 517,425 $ 426,000 Chapter 12 pr0blems FORTEN COMPANY Income Statement For Year Ended December 31, 2015 Sales Cost of goods sold Gross profit Operating expenses Deprecia tion expense Other expenses $ 305,000 327,500 $ 19,900 129,600 149,500 Other gains (losses) Loss on sale of equipment (4,475) Income before taxes Income taxes expense Net income 632,500 173,525 30,750 $ 142,775 Additional Information on Year 2015 Transactions a. The loss on the cash sale of equipment was $4,475 (details in b). b. Sold equipment costing $45,675, with accumulated depreciation of $26,150, for $15,050 cash. c. Purchased equipment costing $88,150 by paying $62,000 cash and signing a long-term note payable for the balance. Chapter 12 pr0blems d. Borrowed $3,900 cash by signing a short-term note payable. e. Paid $43,925 cash to reduce the long-term notes payable. f. Issued 3,400 shares of common stock for $20 cash per share. g. Declared and paid cash dividends of $52,600. Required: 1. Prepare a complete statement of cash flows; report its operating activities using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Cash flows from operating activities Net Income Adjustments to reconcile net income to net cash provided by operations: Depreciation expense Accounts receivable Inventory Prepaid expense Accounts payable Loss on disposal of equipment (sale) positive not negative Net cash provided by operating activities Cash flows from investing activities Cash paid for equipment ( additional info c ) Cash received from sale of equipment ( additional info b ) Net cash used in investing activities Cash flows from financing activities: Cash borrowed on short-term note ( additional info d ) Cash paid on long-term note ( additional info e ) Cash received from issuing stock ( additional info f, ) Cash paid for dividends (additional info g ) Net cash used in financing activities Net increase (decrease) in cash Cash balance at beginning of year ( 2014 cash balance) Chapter 12 pr0blems Cash balance at end of year FORTEN COMPANY Comparative Balance Sheets December 31, 2015 and 2014 2015 Assets Cash Accounts receivable Inventory Prepaid expenses $ 2014 49,400 $ 74,000 65,890 51,000 277,000 252,000 1,250 1,700 3. Total current 393,540 378,700 assets Equipment 158,000 107,500 Accum. Forten Company, a merchandiser, recently completed its calendar-year 2015 operations. For the year, (1) depreciation (30,250) (40,000) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) Equipment all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, are paid in advance and are initially debited Total assets and (5) Other Expenses $ 521,290 $ 446,200 to Prepaid Expenses. The company's income statement and balance sheets follow . Liabilities and Equity Accounts payable Short-term notes payable Total current liabilities Long-term Salespayable notes $ 58,590 9,000 67,500 Total liabilities and equity 118,000 $ 584,500 288,000 135,090 162,250 $ 20,000 $ 521,290 48,250 166,250 296,500 36,000 132,400 187,950 111,000 7,000 FORTEN COMPANY Income Statement67,590 For Year Ended December 31, 2015 Cost of goods sold Total liabilities Equity Common stock, Gross profit $5Operating par value Paid-in capital expenses in excess of par, Deprecia common stock tion expense Retained Other earnings $ 150,250 0 152,400 129,700 $ 446,200 Chapter 12 pr0blems expenses Other gains (losses) Loss on sale of equipment (5,250) Income before taxes Income taxes expense Net income 138,850 25,500 $ 113,350 Additional Information on Year 2015 Transactions a. Net income was $113,350. b. Accounts receivable increased. c. Inventory increased. d. Prepaid expenses decreased. e. Accounts payable decreased. f. Depreciation expense was $20,000. g. Sold equipment costing $46,500, with accumulated depreciation of $29,750, for $11,500 cash. This yielded a loss of $5,250. h. Purchased equipment costing $97,000 by paying $35,000 cash and (i.) by signing a long-term note payable for the balance. j. Borrowed $2,000 cash by signing a short-term note payable. k. Paid $42,750 cash to reduce the long-term notes payable. l. Issued 2,400 shares of common stock for $20 cash per share. m. Declared and paid cash dividends of $55,100. Numbers were already there Required: Prepare a complete statement of cash flows using a spreadsheet; report its operating activities using the indirect method. (Enter all amounts as positive values.) Chapter 12 pr0blems Analysis of Changes Dec 31,14 Balance sheetdebit Cash Accounts receivable Inventory Prepaid expenses Equipment Balance sheetcredit Accumulated depreciationEquipment Accounts payable Short-term notes payable Long-term notes payable Common stock, $5 par value Paid-in capital in excess of par value, common stock Retained earnings Statement of cash flows Operating activities Net income Increase in accounts receivable Increase in inventory Decrease in prepaid expenses Decrease in accounts payable Depreciation expense Loss on sale of equipment Investing activities Receipt from sale of equipment Payment to purchase equipment Financing activities Borrowed on short-term note Payment on long-term note Issued common stock for cash Payment of cash dividends Non cash investing and financing activities Purchase of equipment financed by longterm note payable $74,000 $51,000 $252,000 $1,700 $107,500 $486,200 $40,000 $111,000 $7,000 $48,250 $150,250 0 $129,700 $486,200 Debit Credit Dec 31, 15 $49,400 $ Chapter 12 pr0blems 4. Golden Corp., a merchandiser, recently completed its 2015 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. The company's balance sheets and income statement follow. GOLDEN CORPORATION Comparative Balance Sheets December 31, 2015 and 2014 2015 Assets Cash Accounts receivable Inventory $ Total current assets Equipmen t Accum. depreciatio n Equipment 2014 175,000 $ 120,000 82,000 66,000 605,000 528,000 862,000 714,000 334,000 303,000 (157,000) (106,000) Total assets $ 1,039,000 $ 911,000 Liabilitie s and Equity Accounts payable Income taxes payable $ 82,000 $ 73,000 Total current liabilities Equity Common 32,000 27,000 114,000 100,000 594,000 572,000 Chapter 12 pr0blems stock, $2 par value Paid-in capital in excess of par value, common stock Retained earnings Total liabilities and equity $ 195,000 162,000 136,000 77,000 1,039,000 $ GOLDEN CORPORATION Income Statement For Year Ended December 31, 2015 Sales Cost of goods sold Gross profit Operating expenses Deprecia tion expense Other expenses $ 1,802,000 1,088,000 714,000 $ 51,000 496,000 547,000 Income before taxes Income taxes expense Net income 167,000 22,000 $ 145,000 Additional Information on Year 2015 Transactions a. Purchased equipment for $31,000 cash. b. Issued 11,000 shares of common stock for $5 cash per share. 911,000 Chapter 12 pr0blems c. Declared and paid $86,000 in cash dividends. Required: Prepare a complete statement of cash flows; report its cash inflows and cash outflows from operating activities according to the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Cash flows from operating activities Net Income Adjustments to reconcile net income to net cash provided by operations: Accounts receivable Inventory Accounts payable Income taxes payable Depreciation expense Net cash provided by operating activities Cash flows from investing activities: Cash paid for equipment (additional info a ) Net cash used in investing activities Cash flows from financing activities: Cash received from stock issuance (additional info b Cash paid for cash dividends (additional info c ) Net cash used in financing activities Net increase (decrease) in cash Cash balance at beginning of year 2014 Cash balance at end of year Chapter 12 pr0blems 5. Golden Corp., a merchandiser, recently completed its 2015 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. The company's balance sheets and income statement follow. GOLDEN CORPORATION Comparative Balance Sheets December 31, 2015 and 2014 2015 Assets Cash Accounts receivable Inventory Total current assets Equipment Accum. $ 2014 126,062 $ 116,298 88,501 80,301 612,048 531,648 826,611 392,283 (157,830) 728,247 296,283 (101,530) Chapter 12 pr0blems depreciation Equipment Total assets Liabilities and Equity Accounts payable Income taxes payable $ 1,061,064 $ 923,000 $ 125,518 $ 60,918 Total current liabilities Equity Common stock, $2 par value Paid-in capital in excess of par value, common stock Retained earnings Total liabilities and equity $ 26,998 23,998 152,516 84,916 535,200 515,200 181,525 161,525 191,823 161,359 1,061,064 $ GOLDEN CORPORATION Income Statement For Year Ended December 31, 2015 Sales Cost of goods sold Gross profit Operating expenses Deprecia tion expense Other expenses Income before taxes Income taxes $ 1,568,400 972,408 595,992 $ 56,300 407,439 463,739 132,253 25,789 923,000 Chapter 12 pr0blems expense Net income $ 106,464 Additional Information on Year 2015 Transactions a. Net income was $106,464. b. Accounts receivable increased. c. Inventory increased. d. Accounts payable increased. e. Income taxes payable increased. f. Depreciation expense was $56,300. g. Purchased equipment for $96,000 cash. h. Issued 10,000 shares at $4.00 cash per share. i. Declared and paid $76,000 of cash dividends. Required: Prepare a complete statement of cash flows using a spreadsheet; report operating activities under the indirect method. (Enter all amounts as positive values.) Numbers were already there Dec 31, 14 Balance sheetdebit balance accounts Cash Accounts receivable Inventory Equipment Balance sheetcredit balance accounts Accumulated depreciation Equipment $116,298 $80,301 $531,648 $296,283 $1,024,53 0 $101,530 Debit Credit Dec 31,15 $126,062 Chapter 12 pr0blems Accounts payable Income taxes payable Common stock, $2 par value Paid-in capital in excess of par value, common stock Retained earnings Statement of cash flows Operating activities Net income Increase in accounts receivable (top) Increase in inventory (top) Increase in accounts payable Increase in income tax payable (top) Depreciation expense (top) Investing activities Payment for equipment Financing activities Issued common stock for cash Paid cash dividends $60,918 $23,998 $515,200 $161,525 $161,359 $1,024,53 0