WileyPLUs ? y & Practice Assignment Gradebook ORION Downloadable eTextbook n Ass

Question

WileyPLUs ? y & Practice Assignment Gradebook ORION Downloadable eTextbook n Assignment /mainfr.uni CALCULATOR Exercise 12-8 Wildhorse Co.'s comparative balance sheets are presented below. ter 12 Wildhorse Co. Balance Sheets December 31 Cash 14,600 10,300 21,600 23,900 20,500 25,900 0,20070,200 14,500) (10,800) $112,400 $119,500 Land Buildings bry Total Accounts payable Common stock Retained earnings 12,000 S28.200 73,300 8,000 $312,400 $119,500 4,000 26,400 Total Additional information . Net income was $22,900. Dividends deciared and pad were $14,500 2. No noncash Investing and financing activities occurred during 2019 3. The land was sold for cash of s4.700 Your answer is partially corect Try acain

Explanation / Answer

Statement of Cash Flows - Indirect Approach Amount in $ Amount in $ Net income $             22,900 Cash flows from operating activities Adjustments for reconcile the net income to: Loss on Sales of Land $                   700 Depreciation expenses ($14,500 - $ 10,800) $                3,700 (Increase) / Decrease in Account receivables $                2,300 Accounts payable Increase / ( Decrese) $            -16,200 $              -9,500 Net cash from operating activities $             13,400 Cash flows from investing activities Sale of Land $                4,700 Net cash used in investing activities $                4,700 Cash flows from Financing activities Purchase of Treasury Stock Bonds issue Dividend Paid $            -14,500 Issue of Common Stock $                   700 Net cash used in financing activities $            -13,800 Net increase in cash and cash equivalents $                4,300 Add :Cash and cash equivalents at beginning of period $             10,300 Cash and cash equivalents at end of period $             14,600 Land Opening Value = $             25,900 Less: Closing Value $             20,500 Book Value of Sold $                5,400 Sale Value = $                4,700 Loss on sales value $                   700 Answer =2 : Free Cash Flow = Operating Cash Flow - Cash flow from investing Activities Answer =2 : Free Cash Flow = $ 13,400- $ 4,700 = $                8,700

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.