Answered step by step
Verified Expert Solution
Question
1 Approved Answer
What caused the large change in operating cash flows in 2011 for Wildhorse Company? Using the following statement of cash flows and summary analysis of
What caused the large change in operating cash flows in 2011 for Wildhorse Company?
Using the following statement of cash flows and summary analysis of the statement of cash flows for Wildhorse Company, analyze cash flow from operating activities, cash inflows and cash outflows. Wildhorse Company Statement of Cash Flows For the Years Ended December 31, 2012, 2011, and 2010 Net income (loss) Adjustments to reconcile net income 2012 ($145) 2011 2010 $190 $206 to net cash provided by (used for) operating activities: Depreciation and amortization Deferred income taxes 265 275 171 _(70) (40) Loss on sale of business assets 45 0 20 20 Changes in assets and liabilities: Accounts receivable 395 _(10) (125) Inventory 70 (45) (145) Other current assets (85) (25) (15) Accounts payable (230) 75 31 Net cash provided by operating activities $245 $420 $143 Cash flows from investing activities: Capital expenditures Acquisitions Net cash used by investing activities (125) (110) (142) (140) (350) (668) ($265) ($460) ($810) Cash flows from financing activities: Net proceeds (payments) of short-term borrowings Proceeds from long-term debt Repayments of long-term debt (340) 272 915 405 (292) (308) (25) Purchase of common stock (368) (237) (179) Stock options transactions 2 50 60 Payment of cash dividends (50) (50) (50) Net cash (used) provided by financing activities ($133) $140 $483 Net increase (decrease) in cash ($153) $100 ($184) Cash at beginning of period 280 180 364 Cash at end of period $127 $280 $180
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started