Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The Income statement and a schedule reconciling cash flows from operating activities to net income are provided below ($ In 000s) for Peach Computers. PEACH

image text in transcribed
image text in transcribed
image text in transcribed
The Income statement and a schedule reconciling cash flows from operating activities to net income are provided below ($ In 000s) for Peach Computers. PEACH COMPUTERS Income Statement For the Year Ended December 31 2018 Sales Cost of goods sold 335.0 (134.0) 201.0 Gross margin Salaries expense $37. Insurance expense 14.0 Depreciation expense Loss on sale of land Income before tax Income tax expense Net incone 6.0 4.0 61.0 140.0 (70.0) $ 70.0 Reconciliation of Net Income To Net Cash Flows from Operating Activities Net income Adjustments for Noncash Effects Depreciation expense Loss on sale of land Changes in operating assets and liabilities: $ 70.0 6.0 4.0 Decrease in accounts receivable Increase in inventory Decrease in accounts payable Increase in salaries payable Decrease in prepaid insurance Increase in income tax payable 8.0 (23.0) (14.0) 9.0 10.0 67.6 Net cash flows from operating activities $137.6 . Calculate each of the following amounts for Peach Computers 2. Prepare the cash flows from operating activities section of the statement of cash flows (direct method) Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate each of the following amounts for Peach Computers: (Enter your answers in thousands rounded to 1 decimal place Calcoulate each of the folowing amounts for Peach i.e., 5,500 should be entered as 5.5).Cash outflows must be indicated with a minus sign.) Cash received from customers during the reporting pentiod b Cash paid to suppliers of goods during the reporting periocd c. Cash paid to employees during the reporting period d Cash paid for insurance during the reporting period Cash paid for income taxes during the reporting period Required 2> r entering your answers in the tabs below. Complete th Required 2 Required 1 Required 2 Prepare the cash flows from operating activities section of the statement of cash flows (direct method). (Enter your answers in thousands rounded to 1 decimal place (i.e., 5,500 should be entered as 5.5). Amounts to be deducted should be indicated with a minus sign.) Cash Flows from Operating Activities Net cash flows from operating activities

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_2

Step: 3

blur-text-image_3

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

Accounting Information Systems

Authors: Patrick R. Wheeler, Ulric J. Gelinas, Richard B. Dull, Dull Gelinas Wheeler

International 10th Edition

017035539X, 9780170355391

More Books

Students also viewed these Accounting questions

Question

How did World War II shape Anna Freuds research and thought?

Answered: 1 week ago

Question

Explain all drawbacks of application procedure.

Answered: 1 week ago

Question

Identify possible reasons for ineffective performance.

Answered: 1 week ago

Question

Describe the components of a needs assessment.

Answered: 1 week ago

Question

Describe the benefits of employee orientation.

Answered: 1 week ago