Answered step by step
Verified Expert Solution
Question
1 Approved Answer
please help with the statement of CF. In Year 4, Pacilio Security Services decided to expand its business to sell security systems and offer 24-hour
please help with the statement of CF.
In Year 4, Pacilio Security Services decided to expand its business to sell security systems and offer 24-hour alarm monitoring services. it plans to phase out its current service of providing security personnel at various events. The following summary transactions occurred during Year 4 1. Paid the salaries payable from Year 3. 2. Acquired an additional $42,000 cash from the issue of common stock. 3. Rented a larger building on May 1; paid $6.000 for 12 months' rent in advance. 4. Paid $800 cash for supplies to be used over the next several months by the business. 5. Purchased alarm systems for resale at a cost of $12,000. The alarm systems were purchased on account with the terms 2/10, n/30. 6. Retumed alarm systems that had a cost of $240. 7. Installed alarm systems during the year for a total sales amount of $20,000. Sales of $15,000 were on account, while $5,000 were cash sales. 8. The cost of the systems sold in Event 7 amounted to $9,440. 9. Paid the installers and other employees a total of $9,500 in salaries. 0. Sold $36,000 of monitoring services for the year. The services are billed to the customers each month. 11. Paid cash on accounts payable. The payment was made before the discount period expired. At the time of purchase, the inventory has a cost of $8,000. 2. Paid cash to settle additional accounts payable in the amount of $2.780. The payment was made after the discount period expired. 3. Collected $43.000 of accounts recelvable during the year. 4. Performed $12,000 of security services for area events; $9,000 was on account and $3,000 was for cash. 5. Paid advertising cost of $1,620 for the year. 5. Paid advertising cost of $1,620 for the year. 6. Paid $1,100 for utilities expense for the year. 17. Paid a dividend of $12,000 to the shareholders: Adjustment Information 8. Supplies of $150 were on hand at the end of the year. 9. Recognized the expired rent for the year. 0. Recognized the balance of the unearned revenue; cash was recelved in Year 3 . t1. Accrued salaries at December 31, Year 4 , were $1,500. Prepare the statement of cash flows for the year ended December 31 , Year 4 . (Cash outflows should be indicated with a minus sign.) Prepare the statement of cash flows for the year ended December 31, Year 4 . (Cash outflows should be indicated with a minus sign.) 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