Question
Kalikasan Company Balance Sheet Accounts Dec. 31, 2011 Dec. 31, 2012 Cash Php3,500.00 Php5,500.00 Accounts Receivable 4,400.00 3,600.00 Inventory 5,000.00 6,600.00 Land 8,200.00 12,200.00 Buildings
Kalikasan Company
Balance Sheet
Accounts Dec. 31, 2011 Dec. 31, 2012
Cash Php3,500.00 Php5,500.00
Accounts Receivable 4,400.00 3,600.00
Inventory 5,000.00 6,600.00
Land 8,200.00 12,200.00
Buildings and Equipment 35,700.00 48,700.00
Accumulated Depreciation (6,000.00) (8,700.00)
Total Assets Php50,800.00 Php67,900.00
Accounts Payable Php5,100.00 Php3,200.00
Salaries Payable 1,400.00 1,800.00
Bonds Payable, 10% 7,000.00 15,000.00
Oridnary Shares 8,000.00 9,000.00
Additional Paid in Capital 16,000.00 19,000.00
Retained Earnings 13,300.00 19,900.00
Total Php50,800.00 Php67,900.00
Kalikasan Company Income Statement
Sales Php80,000.00
Cost of Goods Sold (48,600.00)
Gross Profit 31,400.00
Operating Expenses
Depreciation Php3,400.00
other expenses 15,900.00 19,300.00
Other Revenues and Expenses 12,100.00
Gain on Sale of Equipment 600.00
Interest Expenses (700.00) (100.00)
Income Before Taxes 12,000.00
Income Tax Expenses (3,600.00)
Income After Taxes Php8,400.00
Additional Information:
a. Equipment was purchased fa cash at a cost of P15,200.00
b. Ten-year bonds payable with a face value of P8,000 were issued at the end of the year c. Land was acquired through issuance of 100 ordinary shares of P20 par shares when stock was selling at a market price of P40 per share d. Equipment with a cost of P2,200 and a book value ofP1,500 was sold for P2,100.
(Prepare cash flow statement under direct method and indirect method)
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