Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Pls, ASAP, it will appreciated The following are CR Company's comparative statements of financial position, income statement, and additional information: CR Company Statement of Financial

image text in transcribed

image text in transcribed

Pls, ASAP, it will appreciated

The following are CR Company's comparative statements of financial position, income statement, and additional information: CR Company Statement of Financial Position December 31, 2015 and 2014 2015 2014 Assets Cash Accounts receivable Merchandise inventory Prepaid expense Equipment Accum. depreciation Equipment Total assets $ 43,050 34,125 156,000 3,600 135,825 (61,950) $ 310,650 S 23.925 39,825 146,475 1,650 146,700 (47,550) S 311,025 Liabilities and Equity Accounts payable Income tax payable Dividends payable Bonds payable Share capital-ordinary, 510 par value Retained eamings Total liabilities and equity $ 28,800 5.100 0 0 168,750 108,000 $ 310,650 S 33,750 4,425 4,500 37,500 168,750 62.100 S 311,025 CR Company Income Statement For Year Ended December 31, 2015 $ 446,100 Sales Cost of goods sold Other operating expenses Depreciation expense $ 222,300 120,300 25,500 (368.100) 78,000 3,300 825 Other gains (losses) Loss on sale of equipment Loss on retirement of bonds Profit before tax Income tax expense Net profit (4.125) 73,875 (13,725) S 60,150 Additional information: a. Equipment costing $21,375 with accumulated depreciation of S11,100 is sold for cash. b. Equipment purchases are for cash. c. Accumulated Depreciation is affected by depreciation expense and the sale of equipment. d. The balance of Retained carnings is affected by dividend declarations and net profit. c. Accounts payable balances result from merchandise inventory purchases. f. Prepaid expenses relate to other operating expenses". Required: Prepare a statement of cash flows using the indirect method for year 2015

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_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

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

Get Started

Recommended Textbook for

Accounting concepts and applications

Authors: Albrecht Stice, Stice Swain

11th Edition

978-0538750196, 538745487, 538750197, 978-0538745482

More Books

Students also viewed these Accounting questions

Question

List and Briefly define the five components of OPRB expense.

Answered: 1 week ago

Question

Effective Delivery Effective

Answered: 1 week ago