Question

AP5-4B

The following is financial information for three companies...(Please show and explain how to calculate net earnings/loss)

Ap AP5-4B (Cash flow from operations) The following is financial information for three companies. SaskCo. $790,000 420,000 70,000 60,000 20,000 Kotei & Sons Ltd. Movilla Ltd. Sales revenue Cost of goods sold Depreciation expense Other operating expenses Interest expense Gain (loss) on sale of equipment Dividends paid Increasel(Decrease) in $960,000 550,000 80,000 70,000 35,000 $453,000 235,000 40,000 50,000 15,000 9,00 6,000 (15,000) (14,000) oniuy no 10,000 12,000 Accounts receivable Inventory Prepaid expenses Property, plant, and equipment Accounts payable Interest payable Bonds payable Common shares 14,000 (20,000) 1,000 220,000 (8,000) 3,000 (20,000) 70,000 (16,000) 25,000 (2,400) (70,000) 12,000 (8,000) 50,000 (10,000) 15,000 (30,000) (2.600) 150,000 (8,000) 5,000 60.000 120,000 Required For each of the above companies, calculate the cash flow from operations using the indirect method. AP5-5B (Preparation of statement of cash flows) Whiskey Industries Ltd., a Nanaimo, British Columbia-based company, has a December 31 year end. The company's comparative statement of financial position and its statement of income for the most recent fiscal year are presented here, along with some additional information: 1. During the year, Whiskey Industries sold, for $500 cash, equipment that had an original cost of $1,000 and a net carrying amount of $200 2. Whiskey Industries borrowed an additional $8,000 by issuing notes payable in 2020. 3. During the year, the company purchased a piece of land for a future manufacturing site for $200,000. The land was purchased with no money down and the company entered into a mortgage payable for the full amount. WHISKEY INDUSTRIES LTD Statement of Financial Position As at December 31, 2020