NOSKER COMPANY Comparative Balance Sheets December 31 Assets 2017 2016 $37,000 $
ID: 2585734 • Letter: N
Question
NOSKER COMPANY
Comparative Balance Sheets
December 31
Assets
2017
2016
$37,000
$20,500
32,300
18,800
29,300
20,000
59,700
77,300
(29,100
)
(24,000
)
$129,200
$112,600
Liabilities and Stockholders’ Equity
$28,900
$ 16,700
7,200
8,500
26,000
33,800
17,000
13,400
50,100
40,200
$129,200
$112,600
NOSKER COMPANY
Income Statement
For the Year Ended December 31, 2017
$241,100
176,600
64,500
24,100
40,400
3,400
37,000
7,700
$29,300
Prepare a statement of cash flows for Nosker Company using the direct method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)
The following are the financial statements of Nosker Company.NOSKER COMPANY
Comparative Balance Sheets
December 31
Assets
2017
2016
Cash$37,000
$20,500
Accounts receivable32,300
18,800
Inventory29,300
20,000
Equipment59,700
77,300
Accumulated depreciation—equipment(29,100
)
(24,000
)
Total$129,200
$112,600
Liabilities and Stockholders’ Equity
Accounts payable$28,900
$ 16,700
Income taxes payable7,200
8,500
Bonds payable26,000
33,800
Common stock17,000
13,400
Retained earnings50,100
40,200
Total$129,200
$112,600
NOSKER COMPANY
Income Statement
For the Year Ended December 31, 2017
$241,100
Cost of goods sold176,600
Gross profit64,500
Operating expenses24,100
Income from operations40,400
Interest expense3,400
Income before income taxes37,000
Income tax expense7,700
Net income$29,300
Additional data:
1. Dividends declared and paid were $19,400. 2. During the year equipment was sold for $8,900 cash. This equipment cost $17,600 originally and had a book value of $8,700 at the time of sale. 3. All depreciation expense, $13,800, is in the operating expenses. 4. All sales and purchases are on account.
Further analysis reveals the following.
1. Accounts payable pertain to merchandise suppliers. 2. All operating expenses except for depreciation were paid in cash.
Explanation / Answer
NOSKER COMPANY Statement of Cash Flows For the Year Ended December 31, 2017 Cash flows from operating activities Cash receipts from customers $2,27,600 Less cash payments: To suppliers 1,73,700.00 ForOperating expenses 24100-13800 10,300.00 For income taxes 9,000.00 For interest 3,400.00 1,96,400 Net cash provided by operating activities 31,200 Cash flows from investing activities Sale of equipment 8,900 Net cash provided by investing activities 8,900 Cash flows from financing activities Issuance of common stock 3,600 Redemption of bonds -7,800 Payment of dividends -19,400 Net cash used by financing activities -23,600 Net increase in cash 16,500 Cash at beginning of period 20,500 Cash at end of period $ 37,000 Cash receipts from customers Accounts receivable Beg 18800 ADD Sales revenue 241100 Less Accounts receivable End 32300 Cash receipts from customers 227600 To suppliers Ending Inventory 29300 Add Cost of goods sold 176600 Less Beginning Inventory 20000 AddAccounts payable Beg 16700 Less Accounts payable end 28900 To suppliers 173700 Income taxes payable beg 8500 Add Income tax expense 7700 Less Income taxes payable End 7200 For income taxes 9000
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.