Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Portions of the financial statements for Parnell Company are provided below. $ 900 12 $912 PARNELL COMPANY Income Statement For the Year Ended December 31,

image text in transcribed
image text in transcribed
image text in transcribed
Portions of the financial statements for Parnell Company are provided below. $ 900 12 $912 PARNELL COMPANY Income Statement For the Year Ended December 31, 2018 ($ in 200s) Revenues and gains: Sales Gain on sale of buildings Expenses and loss: Cost of goods sold Salaries Insurance Depreciation Interest expense Loss on sale of machinery Income before tax Income tax expense Net income $ 350 130 54 133 60 11 174 $ 87 Change PARNELL COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2018 and 2017 ($ in 200s) Year 2018 2017 Cash $ 154 $ 99 Accounts receivable 344 206 Inventory 311 Prepaid insurance 64 108 Accounts payable 230 Salaries payable 122 Deferred income tax liability 80 Bond discount 180 220 $ 64 138 445 (134) (44) 123 (40) Required: 1. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the direct method. 2. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the indirect method Complete this question by entering your answers in the tabs below. Required 1 Required 2 Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the dire method. (Enter your answers in thousands (i.e., 5,000 should be entered as 5). Amounts to be deducted should be indicated with a minus sign.) Cash Flows from Operating Activities Cash received from customers Cash paid to suppliers Cash pard to employees Cash paid for insurance Cash paid for interest Accounts payable Not cash flows from operating activities Required 1 Required 2 Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the Indirect method. (Enter your answers in thousands (i.e., 5,000 should be entered as 5). Amounts to be deducted should be indicated with a minus sign.) Cash Flows from Operating Activities Adjustments for noncash effects Changes in operating assets and liabilities: Net cash flows from operating 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

Recommended Textbook for

Introductory Statistics For The Behavioural Sciences

Authors: Joan Welkowitz, Robert B. Ewen, Jacob Cohen

2nd Edition

0127432604, 9780127432601

More Books

Students also viewed these Accounting questions

Question

What functions might this behavior be serving?

Answered: 1 week ago

Question

5. The amounts that a business owes are called

Answered: 1 week ago