Title: Problem 16-1B
QA_Ori:
Part 1
GAZELLE CORPORATION
Statement of Cash Flows
For Year Ended December 31, 2013
Cash flows from operating activities
Net income……………………………………………………………………..$158,100
Adjustments to reconcile net income to net
cash provided by operating activities
Cash flows from investing activities
Cash flows from financing activities
)
Net increase in cash…………………………………………………………… $ 61,900
Noncash investing and financing activities
Purchased equipment for $113,250 by signing a $70,000 long-term note payable
and paying $43,250 in cash.
Part 2
Gazelle Corporation’s dividend payments of $53,600 represent 34% of the
Further analysis reveals that investing activities used a modest $17,200 and,
Companies usually pay dividends that are substantially less than net income.
Title: Problem 16-2BA
QA_Ori:
GAZELLE CORPORATION
Spreadsheet for Statement of Cash Flows
For Year Ended December 31, 2013
December
31, 2012
Analysis of Changes December
31, 2013Debit Credit
Balance sheet–debits
Cash…………………………………………… $ 61,550 $123,450
Balance sheet–credits
Accum. depreciation—Equip…………….. $ 95,000 (g) 22,850 (f) 38,600 $110,750
Statement of cash flows
Operating activities
Net income…………………………………… (a) 158,100
Investing activities
Financing activities
Noncash investing and financing
activities
Title: Problem 16-2BA
QA_Ori:
GAZELLE CORPORATION
Statement of Cash Flows
For Year Ended December 31, 2013
Cash flows from operating activities
Net income……………………………………………………………………..$158,100
Adjustments to reconcile net income to net
Cash flows from investing activities
Cash flows from financing activities
Noncash investing and financing activities
Purchased equipment for $113,250 by signing a $70,000 long-term note payable
and paying $43,250 in cash.
Title: Problem 16-3BB
QA_Ori:
GAZELLE CORPORATION
Statement of Cash Flows
For Year Ended December 31, 2013
Cash flows from operating activities
Cash received from customers (Note 1)…………………….$1,188,650
Cash flows from investing activities
Cash flows from financing activities
= $360,950
Title: Problem 16-4B
QA_Ori:
SATU COMPANY
Statement of Cash Flows
For Year Ended December 31, 2013
Cash flows from operating activities
Net income……………………………………………………………. $202,767
Adjustments to reconcile net income to net
cash provided by operating activities
Cash flows from investing activities
Cash paid for equipment…………………………………………… (30,250)
Cash flows from financing activities
Title: Problem 16-5BA
QA_Ori:
SATU COMPANY
Spreadsheet for Statement of Cash Flows
For Year Ended December 31, 2013
December
31, 2012
Analysis of Changes December
31, 2013
Debit Credit
Balance sheet–debits
Cash…………………………………………… $ 28,400 $ 58,750
$272,080
$352,389
Balance sheet–credits
Accum. depreciation—Equip…………….. $ 31,000 (f) 15,700 $ 46,700
Statement of cash flows
Operating activities
Net income…………………………………… (a) 202,767