Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

PARTI: STATEMENT OF CASH FLOWS-Value: 32 points Prepare the Statement of Cash Flows based on the information sent by Olive Corporation. Olive Corporation Income Statement

image text in transcribed
image text in transcribed
image text in transcribed
PARTI: STATEMENT OF CASH FLOWS-Value: 32 points Prepare the Statement of Cash Flows based on the information sent by Olive Corporation. Olive Corporation Income Statement For the Years Ended December 31, 2020 and 2019 2019 Sales revenue $ 24.000 $ 27.750 less Cost of Goods Sold 12,750 Gross Profits 10,500 15,000 2020 13,500 Less General and Adm. Expenses Selling Expenses Depreciation expense Total Expenses 1,900 425 425 2,750 2,300 680 325 3,305 Operating profits less Interest Expenses Net Profit Before Taxes less Taxes Net Profi Net profit after taxes less Preferred Dividends Earnings Available To Common Stockholders 7.750 1200 6,550 2310 4,240 200 4,040 $ 11.695 900 10,795 3780 7,015 200 6,815 $ Olive Corporation Balance Sheet (the Years Ended December 31, 2020 and 2019 2020 2019 ASSETS $ Cash Marketable Securities Accounts Receivable Inventory Total Current Assets 575 $ 3100 3750 2725 10150 255 3400 3,200 4800 11655 Buildings Machinery Equipments Total Gross Assets Less Accumulated Depreciation Net Fixed Assets 9200 2,300 600 12,100 3525 8,575 7200 1000 880 9,080 3100 5,980 Total Assets $ 18.725 $ 17,635 LIABILITIES AND EQUITY $ Accounts Payable Notes Payable Accruals Total Current Liabilities Long Term Debts 650 $ 1200 500 2350 430 1,500 525 2455 12000 11,000 Total Debts 14350 13455 200 Preferred Stock Common Stock Paid in Capital ie of par value Retained Earnings Total Stockholders equity TOTAL DEBTS AND S. EQUITY 300 2500 75 1500 4375 2700 80 1200 4180 18,725 $ 17,635 a. A. Prepare a statement of Cash Flows for the year ended December 31, 2020, organized by cash flow from operating activities, cash flow from investment activities, and cash flow from financing activities. (Value: 26 points, 20 issues @1.30 each) B. Compute the cash dividends paid, if any. (3 points) C. Evaluate each part of the statement with a minimum of two sentences each. (3 points) 1. Operating activities 2. Financing Activities 3. Investing Activities

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Students also viewed these Accounting questions

Question

B.1 Describe the different types of jobs available. (APA 1.1, 1.3)

Answered: 1 week ago

Question

What is meant by planning or define planning?

Answered: 1 week ago

Question

Define span of management or define span of control ?

Answered: 1 week ago

Question

What is meant by formal organisation ?

Answered: 1 week ago

Question

What is meant by staff authority ?

Answered: 1 week ago