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*Problem 5-7 Buffalo Inc. had the following balance sheet at December 31, 2016. BUFFALO INC. BALANCE SHEET DECEMBER 31, 2016 Cash Accounts receivable Investments Plant
*Problem 5-7 Buffalo Inc. had the following balance sheet at December 31, 2016. BUFFALO INC. BALANCE SHEET DECEMBER 31, 2016 Cash Accounts receivable Investments Plant assets (net) $ 25,810 27,010 32,000 86,810 45,810 $217,440 Accounts payable Bonds payable Common stock Retained earnings $ 35,810 46,810 105,810 29,010 $217,440 Land During 2017, the following occurred. 1. Buffalo liquidated its available-for-sale investment portfolio at a loss of $10,810. 2. A tract of land was purchased for $43,810. 3. An additional $30,000 in common stock was issued at par. 4. Dividends totaling $15,810 were declared and paid to stockholders. 5. Net income for 2017 was $40,810, including $17,810 in depreciation expense. 6. Land was purchased through the issuance of $35,810 in additional bonds. 7. At December 31, 2017, Cash was $76,010, Accounts Receivable was $47,810, and Accounts Payable was $45,810. Prepare a statement of cash flows for the year 2017 for Buffalo. (Show amounts that decrease cash flow with either a - sign e.g BUFFALO INC. Statement of Cash Flows Adjustments to reconcile net income to net cash provided by operating activities: Statement of Cash Flows Adjustments to reconcile net income to net cash provided by operating activities: Land purchased through issuance of $ of bonds Prepare the unclassified balance sheet as it would appear at December 31, 2017. (List Assets in order of liquidity.) BUFFALO INC. Balance Sheet Assets Liabilities and Stockholders' Equity Compute Buffalo's free cash flow and current cash debt coverage for 2017. (Round current cash debt coverage to 2 decim. or in parenthesis e.g. (15,000).) Free cash flow Current cash debt coverage
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