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and lear Income statement data in thousands e Losses on inventory write-down and

ID: 2457490 • Letter: A

Question

and lear Income statement data in thousands e Losses on inventory write-down and fixed assets o Balance sheet data (in thousands): Net earnings (loss) $(6,106) 379 799 830 Depreciation expense Stock-based compensation expense (noncash) Increase in accounts receivable Decrease in inventory 278 1,252 131 472 Decrease in prepaid expenses Decrease in accounts payable a. Prepare the Cash Flows from Operating Activities section of the statement out flows, cash payments, decreases in cash and for any adjustment section of the statement of cash flows, using the indirect method for Jo s, if required. Enter the amounts in thousands of dollars, as Jones Soda Co. Cash Flows from Operating Activitles flows from operating actwitles s in current operating 0 3 0

Explanation / Answer

JONES SODA CO.

CASH FLOW FROM OPERATING ACTIVITIES

( $' THOUSAND)

CASH FLOW FROM OPERATING ACTIVITIES : (6106)

ADJUSTMENT TO RECONDILE NET LOSS TO

NET CASH FLOW FROM OPERATING ACTIVITIES:

I. LOSS ON INVENTORY WRITTEN DOWN & FIXED ASSETS 379

II. DEPRECIATION EXPENSE 799

III. STOCK BASED COMPENSATION EXPENSE (NON-CASH) 830

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(4098)

CHANGES IN CURRENT OPERATING ASSETS AND LIABILITIES:

(a) INCREASE IN ACCOUNTS RECEIVABLES (274)

(b) DECREASE IN INVENTORIES 1252

(c) DECREASE IN PREPAID EXPENSES 131

(d) DECREASE IN ACCOUNTS PAYABLES (472)    637

NET CASH FLOW FROM OPERATING ACTIVITIES (3461)