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Using the balance sheet from the end of last year ( when the company was still a proprietorship ) and the balance sheet just created,
Using the balance sheet from the end of last year when the company was still a proprietorship and the balance sheet just created, prepare a cash flow statement using the indirect method. Round answers to the nearest whole number. Note: No Property, Plant and Equipment was sold during the year. Hint : Amortized bond discount or premium should be added to the operating activities, if there is any. Carrying amount of the bonds should be presented in the financing activities. Electric Inc. Income Statement For the Year Ended December Sales Revenue $ Less: Sales Discounts Sales Returns and Allowances Net Sales Cost of Goods Sold Gross Profit Operating Expenses Depreciation Expense $ Insurance Expense Maintenance Expense Professional Fees Expense Rent Expense Salaries Expense Telephone Expense Travel Expense Total Operating Expenses Income from operations Other income and expenses Interest Revenue Revenue from investment in HSBC Inc. Unrealized gain on Fair Value Adjustment Interest Expense Income loss from Continuing Operations before Income Tax Expense Income Tax Expense Income Loss from Continuing Operations Discontinued Operations Loss from Discontinued Operations Income tax savings Discontinued Operations Net Income $
Using the balance sheet from the end of last year when the company was still a proprietorship and the balance sheet just created, prepare a cash flow statement using the indirect method. Round answers to the nearest whole number.
Note: No Property, Plant and Equipment was sold during the year.
Hint : Amortized bond discount or premium should be added to the operating activities, if there is any. Carrying amount of the bonds should be presented in the financing activities. Electric Inc.
Income Statement
For the Year Ended December
Sales Revenue $
Less: Sales Discounts
Sales Returns and Allowances
Net Sales
Cost of Goods Sold
Gross Profit
Operating Expenses
Depreciation Expense $
Insurance Expense
Maintenance Expense
Professional Fees Expense
Rent Expense
Salaries Expense
Telephone Expense
Travel Expense
Total Operating Expenses
Income from operations
Other income and expenses
Interest Revenue
Revenue from investment in HSBC Inc.
Unrealized gain on Fair Value Adjustment
Interest Expense
Income loss from Continuing Operations before Income Tax Expense
Income Tax Expense
Income Loss from Continuing Operations
Discontinued Operations
Loss from Discontinued Operations
Income tax savings Discontinued Operations
Net Income $
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