statement of cash flows using direct method
Owl Supermarkets Inc. (O-S-1) is a grocery store based in Houston, Texas. The company began its operations on January 1st, 2021. During its first quarter of operations (January through end of March) in 2021, the company had the following transactions: 1. Issued 2000 shares of common stock at $25 per share. 2. Purchased land for $10,000 cash. 3. Paid $5,000 to cover the store rent from January 1 through the end of June. 4. Purchased $8,800 of groceries for sale in its store on account. 5. Purchased $5,200 of equipment with cash. 6. Paid $800 cash to its supplicrs for groceries previously purchased. 7. Paid $6,700 cash for workers' wages for work performed during the quarter. 8. Total revenue from grocery sales for the quarter totaled $18,570. Of the $18,570 of sales, $8,890 were received as cash. 9. Paid $500 of dividends to OSI shareholders. 10. Sold land acquired in (2) above for $9000 cash 11. Issued $15,000 of 30 -year bonds. Additional information: a) At the end of the first quarter, the company's remaining inventory value was $7,600. b) Additional accrued wages at the end of the quarter were $300. O-S-I will not pay this amount until later in the second quarter. c) Total depreciation during the quarter for the equipment was $1,060. d) O-S-I received bills for utilities used for months of January, February, and March of $500,$580, and $550, respectively. The company paid for the first two months during the quarter and will pay for the last bill in April. e) O-S-I has a tax rate of 30%.O-S-I pays the taxes owed in full at the end of each quarter. f) Accrued interest payable on bonds issued in (11) during the first quarter was $1,525. The interest will be paid to bondholders in the next quarter. Owl Supermarkets Inc. (O-S-1) is a grocery store based in Houston, Texas. The company began its operations on January 1st, 2021. During its first quarter of operations (January through end of March) in 2021, the company had the following transactions: 1. Issued 2000 shares of common stock at $25 per share. 2. Purchased land for $10,000 cash. 3. Paid $5,000 to cover the store rent from January 1 through the end of June. 4. Purchased $8,800 of groceries for sale in its store on account. 5. Purchased $5,200 of equipment with cash. 6. Paid $800 cash to its supplicrs for groceries previously purchased. 7. Paid $6,700 cash for workers' wages for work performed during the quarter. 8. Total revenue from grocery sales for the quarter totaled $18,570. Of the $18,570 of sales, $8,890 were received as cash. 9. Paid $500 of dividends to OSI shareholders. 10. Sold land acquired in (2) above for $9000 cash 11. Issued $15,000 of 30 -year bonds. Additional information: a) At the end of the first quarter, the company's remaining inventory value was $7,600. b) Additional accrued wages at the end of the quarter were $300. O-S-I will not pay this amount until later in the second quarter. c) Total depreciation during the quarter for the equipment was $1,060. d) O-S-I received bills for utilities used for months of January, February, and March of $500,$580, and $550, respectively. The company paid for the first two months during the quarter and will pay for the last bill in April. e) O-S-I has a tax rate of 30%.O-S-I pays the taxes owed in full at the end of each quarter. f) Accrued interest payable on bonds issued in (11) during the first quarter was $1,525. The interest will be paid to bondholders in the next quarter
