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Part A (2 points each for a possible total of 6 points) The following information is given for Tripp Company, which uses the indirect method.

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Part A (2 points each for a possible total of 6 points) The following information is given for Tripp Company, which uses the indirect method. $20,000 Netincome Depreciation expense 3,000 Increase in accounts receivable 2,000 Payment of dividends Proceeds from sale of equipment Increase in accounts payable 2,000 6,000 4,000 Decrease in inventory 3,000 From the information provided, answer the following questions: 1. The cash flow from operating activities is 2. The cash flow from investing activities is 3. The cash flow from financing activities is Part B (2 points each for a possible total of 10 points) Selected data for Stick's Design are given as of December 31, Year 1 and Year 2 (rounded to the nearest hundredth). Year 2 Year 1 Net Credit Sales $25,000 $30,000 Cost of Goods Sold 16,000 18,000 Net Income 2,000 2,800 Cash 5,000 900 Accounts Receivable 3,000 2,000 Inventory 2,000 3,600 Current Liabilities 6,000 5,000 Compute the following Current ratio for Year 2 1. 2 Acid test ratio for Year 2 3 Accounts receivable turnover for Year 2 Average collection period for Year 2 4 Inventory turnover for Year 2 Part (10 points) Prepare an income statement showing departmental contribution margin based on the following: Dept.Y Dept. X Rent Expense Space (square feet) 17.500 35,000 Net Sales $60,000 $40.000 Cost of Goods Sold 18,000 16,000 Rent Expense (allocated based on square feet) $2.700 Part D (4 points each for a possible total of 24 points) From the following transactions, prepare the appropriate general journal entries for the month of April. 1. Raw materials costing $60,000 were issued from the storeroom. 2. Direct labor of $53,000 was charged to production. 3. Indirect labor costs of $17,000 were incurred 4. Overheadwas applied at the rate of 40%% of direct labor dollars. 5. Completed products costing $42,000 were transferred to finished goods 6. Products costing $32,000 we re sold

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