Question
jvc Company reports the following information on its 2017 end-of-year financial statements. Assume any increases/decreases to the Balance Sheet accounts were a result of cash
jvc Company reports the following information on its 2017 end-of-year financial statements. Assume any increases/decreases to the Balance Sheet accounts were a result of cash transactions.
What is jvC Companys Cash flow from financing activities?
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jvC Company |
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Balance Sheets |
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On December 31, 20XX |
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Assets |
| 2017 | 2016 |
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Cash and Cash Equivalents |
| $84,000 |
| $48,700 |
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Accounts Receivable |
| 53,600 |
| 50,000 |
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Inventory |
| 39,600 |
| 39,000 |
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Prepaid Expenses |
| 5,500 |
| 15,000 |
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Equipment |
| 206,000 |
| 200,000 |
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Accumulated Depreciation |
| -126,700 |
| -117,700 |
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Total assets |
| $262,000 |
| $235,000 |
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| 2017 | 2016 |
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Liabilities and Stockholders' Equity |
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Accounts Payable |
| $48,000 |
| $49,000 |
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Accrued Liabilities |
| 44,000 |
| 42,000 |
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Common Stock |
| 10,000 |
| 9,000 |
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Retained Earnings |
| 160,000 |
| 135,000 |
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Total Liabilities and Stockholders' |
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Equity |
| $262,000 |
| $235,000 |
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| jvC Company |
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| Income Statement |
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| For the Period Ended December 31, 2017 |
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| Sales Revenue |
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| $636,000 |
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| Cost of Goods Sold |
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| 240,000 |
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| Gross Profit |
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| $396,000 |
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| Office Expenses |
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| 242,000 |
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| Depreciation Expense |
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| 9,000 |
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| Income from Operations |
| 145,000 |
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| Interest Expense |
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| 0 |
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| Income before Income Taxes |
| 145,000 |
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| Income Tax Expense |
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| 120,000 |
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| Net Income |
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| 25,000 |
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($1,000) |
$1,000 |
$7,000 |
$26,000 |
None of these answers are correct. |
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