Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Weaver Company Comparative Balance Sheet at December 31 This Year Last Year $ 12 294 160 8 474 511 (81) 430 26 $ 13 230

image text in transcribedimage text in transcribed

Weaver Company Comparative Balance Sheet at December 31 This Year Last Year $ 12 294 160 8 474 511 (81) 430 26 $ 13 230 195 5 443 431 (71) 360 32 $835 $ 930 Assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Long-term investments Total assets Liabilities and Stockholders' Equity Accounts payable Accrued liabilities Income taxes payable Total current liabilities Bonds payable Total liabilities Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $ 304 70 72 446 196 642 162 126 288 $ 930 $ 225 79 65 369 171 540 201 94 295 $835 Weaver Company Income Statement For This Year Ended December 31 Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income Nonoperating items : Gain on sale of investments $ 6 Loss on sale of equipment (1) Income before taxes Income taxes Net income $ 753 445 308 220 88 5 93 22 $ 71 During this year, Weaver sold some equipment for $19 that had cost $30 and on which there was accumulated depreciation of $10. In addition, the company sold long-term investments for $12 that had cost $6 when purchased several years ago. Weaver paid a cash dividend this year and the company repurchased $39 of its own stock. This year Weaver did not retire any bonds. During this year, Weaver sold some equipment for $19 that had cost $30 and on which there was accumulated depreciation of $10. In addition, the company sold long-term investments for $12 that had cost $6 when purchased several years ago. Weaver paid a cash dividend this year and the company repurchased $39 of its own stock. This year Weaver did not retire any bonds. 2. Using the information from Part 1, along with an analysis of the remaining balance sheet accounts, prepare a statement of cash flows for this year. (List any deduction in cash and cash outflows as negative amounts.) Weaver Company Statement of Cash Flows For This Year Ended December 31 Operating activities: Net cash provided by operating activities Investing activities: Proceeds from sale of equipment $ Proceeds from sale of long-term investments Additions to property, plant, and equipment 0 0 0 0 Net cash used in investing activities Financing activities: Issuance of bonds payable Repurchase of common stock Cash dividends paid 25 (39) (14) (14) Net cash used in financing activities Net decrease in cash Beginning cash and cash equivalents Ending cash and cash equivalents 8 $ (6)

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

IT Auditing And Sarbanes Oxley Compliance Key Strategies For Business Improvement

Authors: Dimitris N. Chorafas

1st Edition

036738650X, 978-0367386504

More Books

Students also viewed these Accounting questions

Question

Create a Fishbone diagram with the problem being coal "mine safety

Answered: 1 week ago