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Question 2. Here is the summary financial data for Hogan Corp. 2022 2021 2020 Cash $ 75,000 70,000 60,000 Other current assets 450,000 400,000
Question 2. Here is the summary financial data for Hogan Corp. 2022 2021 2020 Cash $ 75,000 70,000 60,000 Other current assets 450,000 400,000 370,000 Current liabilities 335,000 240,000 250,000 Depreciation expense 50,000 48,000 41,000 Net Income 65,000 57,000 54,000 All current assets and current liabilities relate to operations. SHOW LABELLED CALCULATIONS! 1. Compute net cash provided (used) by operations for 2022 and 2021. 2. Show how net cash from operations would change if Hogan decided to delay payment of $50,000 of accounts payable from late 2021 to early 2022? [consider whether the ending 2022 numbers would change????) 3. Ignore what you did in #2. How would the numbers change if Hogan decided to delay purchase of $50,000 of inventory for cash from late 2021 to early 2022? 4. Can cash flows from operations be manipulated? Explain your answer.
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