Answered step by step
Verified Expert Solution
Question
1 Approved Answer
LIVERS INC. Statement of Cash Flows For the Year Ended December 31, 20Y3 Cash flows from operating activities: Net income Adjustments to reconcile net income
LIVERS INC. | ||||||||||||||||
Statement of Cash Flows | ||||||||||||||||
For the Year Ended December 31, 20Y3 | ||||||||||||||||
Cash flows from operating activities: | ||||||||||||||||
Net income | ||||||||||||||||
Adjustments to reconcile net income to net cash | ||||||||||||||||
flow from operating activities: | ||||||||||||||||
Depreciation | ||||||||||||||||
Loss on inventory write down and fixed assets | Gain on sale of investments | |||||||||||||||
Changes in current operating assets and liabilities: | ||||||||||||||||
Increase in accounts receivable | ||||||||||||||||
Increase in inventories | ||||||||||||||||
Increase in accounts payable | ||||||||||||||||
Decrease in accrued expenses payable | ||||||||||||||||
Net cash flow from operating activities | ||||||||||||||||
Cash flows from investing activities: | ||||||||||||||||
Cash received from sale of investments | ||||||||||||||||
Cash paid for purchase of land | ||||||||||||||||
Cash paid for purchase of equipment | ||||||||||||||||
Net cash flow used for investing activities | ||||||||||||||||
Cash flows from financing activities: | ||||||||||||||||
Cash received from sale of common stock | ||||||||||||||||
Cash paid for dividends | ||||||||||||||||
Net cash flow from financing activities | ||||||||||||||||
Change in cash | ||||||||||||||||
Cash at the beginning of the year | ||||||||||||||||
Cash at the end of the year | ||||||||||||||||
Optional: | ||||||||||||||||
LIVERS INC. | ||||||||||||||||
Spreadsheet (Work Sheet) for Statement of Cash Flows | ||||||||||||||||
For the Year Ended December 31, 20Y3 | ||||||||||||||||
Balance, | Transactions | Balance, | ||||||||||||||
Dec. 31, 20Y2 | Debit | Credit | Dec. 31, 20Y3 | |||||||||||||
Cash | 150,000 | 155,000 | ||||||||||||||
Accounts receivable (net) | 400,000 | 450,000 | ||||||||||||||
Inventories | 750,000 | 770,000 | ||||||||||||||
Investments | 100,000 | - | ||||||||||||||
Land | - | - | 500,000 | |||||||||||||
Equipment | 1,200,000 | 1,400,000 | ||||||||||||||
Accum. depr. - equipment | (500,000) | (600,000) | ||||||||||||||
Accounts payable | (300,000) | (340,000) | ||||||||||||||
Accrued expenses payable | (50,000) | (45,000) | ||||||||||||||
Dividends payable | (25,000) | (30,000) | ||||||||||||||
Common stock, $4 par | (600,000) | (700,000) | ||||||||||||||
Paid-in capital in excess of par | (175,000) | (200,000) | ||||||||||||||
Retained earnings | (950,000) | (1,360,000) | ||||||||||||||
Totals | - | - | ||||||||||||||
Operating activities: | ||||||||||||||||
Net income | ||||||||||||||||
Depreciation | ||||||||||||||||
Gain on sale of investments | ||||||||||||||||
Increase in accounts receivable | ||||||||||||||||
Increase in inventories | ||||||||||||||||
Increase in accounts payable | ||||||||||||||||
Decrease in accrued expenses payable | ||||||||||||||||
Investing activities: | ||||||||||||||||
Purchase of equipment | ||||||||||||||||
Purchase of land | ||||||||||||||||
Sale of investments | ||||||||||||||||
Financing activities: | ||||||||||||||||
Declaration of cash dividends | ||||||||||||||||
Sale of common stock | ||||||||||||||||
Increase in dividends payable | ||||||||||||||||
Net change in cash | ||||||||||||||||
Totals |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started