Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The attached information was available for Brahms Corporation for the year 20X4. REQUIRED: (1) Using the above information, calculate the balance of cash at the

image text in transcribed
image text in transcribed
The attached information was available for Brahms Corporation for the year 20X4. REQUIRED: (1) Using the above information, calculate the balance of cash at the beginning of the year. Be sure to show all supporting computations. How much was the net cash flows from operating activities? Be sure to show supporting computations. How much was the net cash flows from investing activities? Be sure to show supporting computations. How much was the net cash flows from financing activities? Be sure to show supporting computations. BRAHMS CORPORATION INFORMATION AVAILABLE FOR ANALYSIS OF STATEMENT OF CASH FLOWS FOR YEAR 20X4 (a) Cash sales for the year were $50,000. Sales on accounts for the year were $60,000. (b) Cost of goods sold was 50% of total sales. All inventory is purchased on account. (C) Depreciation on equipment was $31,000 for the year. (d) Amortization of patent was $2,000. (e) Collections of accounts receivable were $38,000. (1) Payments on accounts payable for inventory totaled $39,000. (8) Rent expense paid in cash was $11,000. (h) | The company issued 20,000 shares of $10 par value stock for $240,000. (1) Land valued at $106,000 was acquired by issuing bonds payable with a par value of $100,000 at 106. 6) Equipment was purchased for cash at a cost of $84,000. (k) Dividends of $46,000 were declared but not yet paid. (1) The company paid $15,000 of dividends that had been declared and payable during the last fiscal year. (m) A machine used on the assembly line was sold for $12,000. The machine had a book value of $7,000. Another machine with a book value of $500 was scrapped and was reported as an ordinary loss. No cash was received for this machine. (n) The cash account increased $191,000 during the year. The balance of cash at the end of the year was $274,000

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

Auditing Principles

Authors: Howard F. Stettler

3rd Edition

0130521183, 9780130521187

More Books

Students also viewed these Accounting questions

Question

Prepare for a successful job interview.

Answered: 1 week ago

Question

Describe barriers to effective listening.

Answered: 1 week ago

Question

List the guidelines for effective listening.

Answered: 1 week ago