- •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:
Required:
Prepare a reconciliation of net income to net cash flows from operating activities.
Answer:
-
Net income
$300,000
Adjustments for noncash effects:
Depreciation expense
15,000
Increase in inventory
(2,000
)
Decrease in interest payable
(1,600
)
Increase in accounts receivable
( 1,400
)
Decrease in bond premium
(3,000
)
Increase in accounts payable
7,000
Net cash flows from operating activities
$314,000
Learning Objective: 4 Level of Learning: 3
113. The accounting records of Westlake Industries provided the data below.
-
Net income
$200,000
Depreciation expense
15,000
Decrease in inventory
12,000
Increase in accounts receivable
1,400
Increase in interest payable
1,600
Amortization of bond discount
3,000
Increase in accounts payable
7,000
Cash dividends paid
20,000
Required:
Prepare a reconciliation of net income to net cash flows from operating activities.
Answer:
-
Net income
$200,000
Adjustments for noncash effects:
Depreciation expense
15,000
Decrease in inventory
12,000
Increase in interest payable
1,600
Increase in accounts receivable
(1,400
)
Decrease in bond discount
3,000
Increase in accounts payable
7,000
Net cash flows from operating activities
$237,200
Learning Objective: 4 Level of Learning: 3
114. Prepare the spreadsheet entries necessary to determine the amount of cash received from customers for each of the four independent situations below.
-
Sales
Accounts
Bad debt
Allowance for
Cash received
Situation
revenue
receivable
expense
uncollectible
from customers
иииисс
inc (dec)
inc (dec)
accounts
1
200,000
10,000
0
0
2
200,000
(10,000)
0
0
3
200,000
(10,000)
2,000
1,000
4
200,000
10,000
2,000
(1,000)
Answer:
-
(1.)
Cash
190,000
Accounts receivable
10,000
Sales revenue
200,000
(2.)
Cash
210,000
Accounts receivable
10,000
Sales revenue
200,000
-
(3.)
Cash
209,000
Bad debt expense
2,000
Allowance for uncollectible accounts
1,000
Accounts receivable
10,000
Sales revenue
200,000
(4.)
Cash
187,000
Bad debt expense
2,000
Allowance for uncollectible accounts
1,000
Accounts receivable
10,000
Sales revenue
200,000
Learning Objective: 3 Level of Learning: 3