47.
Partin Corporation’s cash and cash equivalents consist of cash and marketable securities.
Last year the company’s cash account increased by $31,000 and its marketable securities
account decreased by $22,000. Cash provided by operating activities was $108,000. Net
cash used in financing activities was $70,000. Based on this information, the net cash flow
from investing activities on the statement of cash flows was:
48.
The following events occurred last year at Dorder Corporation:
Purchase of plant and equipment
$45,000
Sale of long-term investment
$24,000
Dividends received on long-term
investments
$9,000
Paid off bonds payable
$12,000
Depreciation expense
$32,000
Based on the above information, the cash provided (used) by investing activities for the
year on the statement of cash flows would net to:
Investing activities:
equipment
Net cash provided by (used in)
49.
Last year Burch Corporation’s cash account decreased by $6,000. Net cash provided by
investing activities was $13,000. Net cash used in financing activities was $30,000. On the
statement of cash flows, the net cash flow provided by (used in) operating activities was:
12–144
50.
Klicker Corporation’s most recent balance sheet appears below:
Comparative Balance Sheet
Ending Balance
Beginning Balance
Assets
Current assets:
Cash and cash equivalents
$27
$30
Accounts receivable
37
31
Inventory
61
58
Total current assets
125
119
Property, plant, and equipment
593
480
Less accumulated depreciation
223
205
Net property, plant, and equipment
370
275
Total assets
$495
$394
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable
$39
$38
Accrued liabilities
15
18
Income taxes payable
28
28
Total current liabilities
82
84
Bonds payable
107
120
Total liabilities
189
204
Stockholders’ equity:
Common stock
34
30
Retained earnings
272
160
Total stockholders’ equity
306
190
Total liabilities and stockholders’ equity
$495
$394
The company’s net income for the year was $152 and it did not issue any bonds or
repurchase any of its common stock during the year. Cash dividends were $40. The net
cash provided by (used in) financing activities for the year was:
12–145
12–146
51.
Excerpts from Aultman Corporation’s comparative balance sheet appear below:
Ending Balance
Beginning Balance
Cash and cash equivalents
$62,000
$29,000
Inventory
$371,000
$345,000
Accounts payable
$71,000
$73,000
Ending Balance
Beginning Balance
Inventory
$371,000
$345,000
Accounts payable
$71,000
$73,000
Which of the following is the correct treatment within the operating activities section of
the statement of cash flows using the indirect method?
12–147
52.
Marbry Corporation’s balance sheet and income statement appear below:
Comparative Balance Sheet
Ending Balance
Beginning Balance
Assets
Current assets:
Cash and cash equivalents
$44
$37
Accounts receivable
57
49
Inventory
48
42
Total current assets
149
128
Property, plant, and equipment
441
360
Less accumulated depreciation
281
248
Net property, plant, and equipment
160
112
Total assets
$309
$240
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable
$35
$43
Accrued liabilities
18
16
Income taxes payable
37
40
Total current liabilities
90
99
Bonds payable
15
20
Total liabilities
105
119
Stockholders’ equity:
Common stock
34
30
Retained earnings
170
91
Total stockholders’ equity
204
121
Total liabilities and stockholders’ equity
$309
$240
Income Statement
Sales
$807
Cost of goods sold
531
Gross margin
276
Selling and administrative expense
143
12–148
Net operating income
133
Gain on sale of plant and equipment
10
Income before taxes
143
Income taxes
43
Net income
$100
Issuance of common stock ($34 – $30)
Paying a dividend
Net cash used in financing activities
Cash dividends were $21. The company did not issue any bonds or repurchase any of its
own common stock during the year. The net cash provided by (used in) financing activities
for the year was:
12–149
53.
The following transactions occurred last year at Jolly Corporation:
Issuance of shares of the company’s
own common stock
$120,000
Dividends paid to the company’s own
shareholders
$1,000
Sale of long-term investment
$7,000
Interest paid to lenders
$13,000
Retirement of the company’s own
bonds payable
$60,000
Proceeds from sale of the company’s
used equipment
$8,000
Purchase of property
$170,000
Repaying principal on bonds payable
($60,000)
Issuance of common stock
Paying a dividend
Net cash provided by financing
activities
Based solely on the above information, the net cash provided by financing activities for
the year on the statement of cash flows would be:
12–150
12–151
54.
Tani Corporation’s most recent balance sheet appears below:
Comparative Balance Sheet
Ending Balance
Beginning Balance
Assets
Current assets:
Cash and cash equivalents
$52
$40
Accounts receivable
37
32
Inventory
57
63
Total current assets
146
135
Property, plant, and equipment
515
470
Less accumulated depreciation
312
270
Net property, plant, and equipment
203
200
Total assets
$349
$335
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable
$54
$46
Total current liabilities
54
46
Bonds payable
60
70
Total liabilities
114
116
Stockholders’ equity:
Common stock
52
50
Retained earnings
183
169
Total stockholders’ equity
235
219
Total liabilities and stockholders’ equity
$349
$335
The company’s net income for the year was $18 and it did not sell or retire any property,
plant, and equipment during the year. Cash dividends were $4. The net cash provided by
(used in) investing activities for the year was:
12–152
12–153
55.
Sonier Corporation’s most recent balance sheet appears below:
Comparative Balance Sheet
Ending Balance
Beginning Balance
Assets:
Cash and cash equivalents
$26
$27
Accounts receivable
45
49
Inventory
40
43
Property, plant and equipment
474
380
Less accumulated depreciation
269
244
Total assets
$316
$255
Liabilities and stockholders’ equity:
Accounts payable
$42
$35
Bonds payable
245
270
Common stock
71
70
Retained earnings
(42)
(120)
Total liabilities and stockholders’ equity
$316
$255
Financing activities:
The net income for the year was $97. Cash dividends were $19. The company did not
issue any bonds or repurchase any of its common stock during the year. The net cash
provided by (used in) financing activities for the year was:
12–154
12–155
56.
Kaeser Corporation’s most recent balance sheet appears below:
Comparative Balance Sheet
Ending Balance
Beginning Balance
Assets
Current assets:
Cash and cash equivalents
$44
$36
Accounts receivable
54
60
Inventory
32
37
Total current assets
130
133
Property, plant, and equipment
527
460
Less accumulated depreciation
339
289
Net property, plant, and equipment
188
171
Total assets
$318
$304
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable
$46
$41
Accrued liabilities
20
17
Income taxes payable
26
29
Total current liabilities
92
87
Bonds payable
145
180
Total liabilities
237
267
Stockholders’ equity:
Common stock
31
30
Retained earnings
50
7
Total stockholders’ equity
81
37
Total liabilities and stockholders’ equity
$318
$304
The company’s net income for the year was $52 and it did not sell or retire any property,
plant, and equipment during the year. Cash dividends were $9. The net cash provided by
(used in) investing activities for the year was:
12–156
12–157
57.
Excerpts from Neuwirth Corporation’s comparative balance sheet appear below:
Ending
Balance
Beginning
Balance
Cash and cash
equivalents
$37,000
$27,000
Accounts
receivable
$24,000
$28,000
Inventory
$65,000
$68,000
Accounts receivable
Inventory
Which of the following is the correct treatment within the operating activities section of
the statement of cash flows using the indirect method?
12–158
58.
The Warrel Corporation reported the following data for last year:
Increase in the Cash account
$22,000
Net cash used by operating activities
$18,000
Net cash provided by investing
activities
$6,000
Based solely on this information, the net cash provided (used) by financing activities on
the statement of cash flows would be:
12–159
59.
Excerpts from Deblois Corporation’s comparative balance sheet appear below:
Ending
Balance
Beginning
Balance
Cash and cash
equivalents
$22,000
$28,000
Accounts payable
$18,000
$17,000
Accrued liabilities
$34,000
$37,000
Accounts
payable
Accrued
liabilities
Which of the following is the correct treatment within the operating activities section of
the statement of cash flows using the indirect method?
12–160
60.
Kaze Corporation’s cash and cash equivalents consist of cash and marketable securities.
Last year the company’s cash account increased by $25,000 and its marketable securities
account decreased by $15,000. Cash provided by operating activities was $38,000. Net
cash provided by investing activities was $9,000. Based on this information, the net cash
flow from financing activities on the statement of cash flows was: