Use the information provided in each of the followingindependent situations to a

Question

Use the information provided in each of the followingindependent situations to answer the questions. For each situation,briefly explain the reasoning behind each of yourcalculations.

a.      Net cash flow from operations for a period was $30,000;Noncash revenues for the period were $11,000. Noncash expenses forthe period were $13,200. What was net income for theperiod?

b.      Wages expense for a period was $69,000. Wages payableincreased during the period by $10,500. How much cash was paid toemployees during the period?

c.       Cash collected from customers for a fiscal period was$224,500. Sales revenue for the period was $241,000. Accountsreceivable at the beginning of the period was $36,000. What was thebalance in accounts receivable at the end of theperiod?

d.      Net income for a period was $45,000. Current assetsincreased during the period by $7,500. Current liabilitiesincreased during the period by $10,000. How much was cash flow fromoperations for the period?

Explanation / Answer

A.

B.

C.

?

D.

A.

Net Cash flow from operation $30,000 Add: Non cash revenue $11,000 Less: Non cash expense $13,200 Net Income $27,800

B.

Wages Expense $69,000 less:Wages pasyable $10,500 Wages paid during the period $58,500

C.

Cash collected from customer $224,500 Add: Beginning A/R $36,000 $260,500 Less: Ending A/R

?

Sales Revenue $241,000 EndingA/R                    = $260500-$241000 EndingA/R                    = $19,500

D.

Net Income $45,000 Add: Increase in C.L $10,000 Less: Increase in C.A $7,500 Cash flow from operation $47,500

Related Questions

Navigate

• Browse (All)
• Browse U
• Subjects

---

---

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