- •94. Lite Travel Company's accounting records include the following information:
- •95. Freeman Company's accounting records include the following information:
- •99. Hogan Company had the following account balances for 2006:
- •100. Hanson Company had the following account balances for 2006:
- •Problems
- •Required:
- •113. The accounting records of Westlake Industries provided the data below.
- •Required:
- •114. Prepare the spreadsheet entries necessary to determine the amount of cash received from customers for each of the four independent situations below.
- •115. Prepare the spreadsheet entries necessary to determine the amount of cash paid to suppliers for each of the four independent situations below.
- •116. Following are the income statement and some additional information for Carolina Consulting Company.
- •Required:
- •117. Following are the income statement and some additional information for Parson Corporation for 2006.
- •Required:
- •118. Partial balance sheets and additional information are listed below for Sowell Company.
- •Required:
- •119. Partial balance sheets and additional information are listed below for Rickey Company.
- •Required:
- •120. Partial balance sheets and additional information are listed below for Monaco Company.
- •Required:
- •121. Partial balance sheets and additional information are listed below for Ensign Company.
- •Required:
- •122. Partial balance sheets and additional information are listed below for Funk Company.
- •Required:
- •123. Partial balance sheets and additional information are listed below for Julius Company.
- •Required:
- •124. Partial balance sheets for Yarborough Company and additional information are found below.
- •Required:
- •125. Partial balance sheets for abc Company and additional information are provided below.
- •Required:
- •126. The accounting records of Harrison Company provided the data below.
- •Required:
- •127. The accounting records of Unlucky Company provided the data below
- •Required:
- •128. The Murdock Corporation reported the following balance sheet data for 2006 and 2005.
- •Required:
- •129. The following are comparative balance sheets and on income statement for Wentworth Company.
- •In its 2005 Annual Report to Shareholders, Henchman & Co. Provided the following Statement of Cash Flows:
125. Partial balance sheets for abc Company and additional information are provided below.
-
ABC Company
Partial Balance Sheets
as of December 31
Assets
2006
2005
Equipment
$100,000
$75,000
Accumulated depreciation
(25,000
)
(20,000
)
Shareholders' equity
Common stock, $10 par
180,000
$100,000
Paid-in capital – excess of par
20,000
0
Retained earnings
40,000
30,000
Additional information for 2006:
July 1: Issued 8,000 shares of common stock for cash.
July 1: Purchased new equipment for cash.
December 31: Paid cash dividends of $20,000.
Required:
Prepare the financing activities section of the statement of cash flows for 2006.
Answer:
-
Cash flows from financing activities:
Issuance of common stock
$100,000
Payment of cash dividends
(20,000
)
Net cash flows from financing activities
$80,000
Learning Objective: 6 Level of Learning: 3
126. The accounting records of Harrison Company provided the data below.
-
Net loss
$10,000
Depreciation expense
12,000
Increase in salaries payable
1,000
Decrease in accounts receivable
4,000
Increase in inventory
4,800
Amortization of patent
700
Decrease in discount on bonds
500
Required:
Prepare a reconciliation of net income to net cash flows from operating activities.
Answer:
-
Net loss
$(10,000
)
Adjustments for noncash effects:
Depreciation expense
12,000
Increase in salaries payable
1,000
Decrease in accounts receivable
4,000
Increase in inventory
(4,800
)
Amortization of patent
700
Reduction in discount on bonds
500
Net cash flows from operating activities
$ 3,400
Learning Objective: 4 Level of Learning: 3