Exam 21: The Statement of Cash Flows Revisited

Acquiring land with a long-term note is:

In a statement of cash flows:

When a transfer is made between cash and cash equivalents with no gain or loss, how is the transaction treated in the statement of cash flows?

A 10% stock dividend is reported in connection with a statement of cash flows as:

In a statement of cash flows:

Partial balance sheets and additional information are listed below for Ensign Company. Ensign Company Partial Balance Sheets as of December 31 Assets 2018 2017 Cash \ 20,000 \ 40,000 Accounts receivable 90,000 60,000 Inventory 20,000 25,000 Accounts payable \ 72,000 \ 58,000 Additional information for 2018: Net income was $170,000. Depreciation expense was $30,000. Sales totaled $400,000. Cost of goods sold totaled $145,000. Required: Prepare the summary entry for the amount of cash paid to merchandise suppliers during 2018.

Alpha Company had the following account balances for 2018: Dec. 31 Jar. 1 Accourts\nobreakspacereceivable \ 44,000 \ 35,000 Accourts\nobreakspacepayable 55,000 60,000 Alpha reported net income of $210,000 for 2018. Assuming no other changes in current account balances, what is the amount of net cash provided by operating activities for 2018 reported in the statement of cash flows?

Which of the following financial statements is prepared as of a particular point in time rather than for a period of time?

Cost of goods sold is $100,000. Accounts payable increased by $2,000. Inventory increased by $5,000. Cash paid to suppliers is:

A statement of cash flows and its related disclosure note typically do not report:

Each year, White Mountain Enterprises (WME) prepares a reconciliation schedule that compares its income statement with its statement of cash flows on both the direct and indirect method bases. In its 2018 income statement, WME reported $695,000 for service revenue from membership fees. WME received $681,000 cash in advance from members during 2018. In its reconciliation schedule, WME should:

Partial balance sheets for Yarborough Company and additional information are found below. Yarborough Company Partial Balance Sheets as of December 31 Assets 2018 2017 Equipment \ 100,000 \ 75,000 Accumulated depreciation (25,000) (20,000) Shareholders' equity Common stock, \5 par \ 150,000 \ 100,000 Paid-in capital-excess of par 20,000 0 Retained earnings 40,000 30,000 Additional information for 2018 : Tuly 1: Issued 10,000 shares of common stock for cash. July 1: Purchased new equipment for cash. Dec. 31 Paid cash dividends of \ 30,000 Required: Prepare the investing activities section of the statement of cash flows for 2018.

Which of the following is reported as an investing activity in the statement of cash flows?

Which of the following would not be a cash inflow from financing activities?

Partial balance sheets and additional information are listed below for Monaco Company. Monaco Company Partial Balance Sheets as of December 31 Assets 2018 2017 Cash \ 40,000 \ 20,000 Accounts Invecivable 60,000 90,000 Inventory 25,000 40,000 Accounts payable \ 60,000 \ 72,000 Additional information for 2018: Net income was $270,000. Depreciation expense was $30,000. Sales totaled $800,000. Cost of goods sold totaled $305,000. Required: Prepare the summary entry for the amount of cash paid to merchandise suppliers during 2018.

In its 2018 Annual Report to Shareholders, Sisters Corporation included the following information on cash flows from operations: -Did accounts receivable increase or decrease during 2018? Explain.

Dooling Corporation reported balances in the following accounts for the current year: Beginning Ending Inventories \ 600 \ 300 Accounts\nobreakspacepayable 300 500 Cost of goods sold was $7,500. What was the amount of cash paid to suppliers?

Hemmer Company reported net income for 2018 in the amount of $40,000. The company's financial statements also included the following: Decrease iry accounts receivable $~~~~\$ 6,000$ Increase in inventory $~~~~~~~~~~1,000$ Depreciation expense $~~~~~~~~~3,000$ What is net cash provided by operating activities?

The purchase of treasury stock is an investing cash outflow.

Ludwig Company's prepaid rent was $9,000 at December 31, 2017, and $13,000 at December 31, 2018. Ludwig reported rent expense of $19,000 on the 2018 income statement. What amount would be reported in the statement of cash flows as rent paid using the direct method?