Chapter 11âThe Statement of Cash Flows
44% of the 205 Democrats voted for the bill while 46% of the 230 Republicans voted for it.a. z = -0.355b. z = -0.418c. z = -0.251d. z = -0.4607. Formulate the indicated conclusion in nontechnical terms. Be sure to address the original claim. A researcher claims that the amounts of acetaminophen in a certain brand of cold tablet have a standard deviation from the = 2.5 mg claimed by the manufacturer. Assuming that a hypothesis test of the claim has been conducted and that the conclusion is failure to reject the null hypothesis
July 6, 2018Securities and Investments-What is the best reason to use the price-to-sales (P/S) ratio …
July 6, 20181. Maytag Corporation’s balance sheets for the
last 2 years are provided below:
Balance Sheets
2013
2012
Cash
$ 82
$ 40
Accounts Receivable
180
150
Inventory
170
200
Equipment
200
140
Accum. Depreciation
(72)
(60)
Total Assets
$560
$470
Accounts Payable
$100
$ 80
L/T Notes Payable
100
50
Common Stock
250
250
Retained Earnings
110
90
Total Liabilities &
Stockholder Equity
$560
$470
The companyâs income statement for 2013 is provided below:
Income Statement
2013
Sales
$345
Expenses:
Cost of Goods Sold
$120
Operating Expenses
58
Depreciation Expense
20
Interest Expense
2
200
Operating Income
145
Gain on Sale–Equipment*
5
Income before Taxes
150
Tax Expense
30
Net Income
$120
*The company sold equipment for $57 which had a cost of $60.
A) Prepare the companyâs Statement of Cash flows for 2013. Use the
direct method of computing cash flows from operating activities.
B) Prepare the Cash Flows from Operating Activities section of the cash
flow statement using the indirect method.
Mary Kay Cosmetics
Selected data and additional information from the companyâs records are
presented below:
Balance Sheet Data
2014
2013
Cash
$235,000
246,000
Accounts receivable
$120,000
$150,000
Inventories
56,000
50,000
Accounts payable
38,000
70,000
Salaries payable
10,000
5,000
Equipment
110,000
70,000
Accumulated depreciation
28,000
32,000
Bonds payable
100,000
200,000
Common stock
300,000
200,000
Retained earnings
76,000
40,000
Income Statement Data
2014
Net sales
$920,000
Cost of goods sold
700,000
Operating expenses (excluding depreciation expense)
160,000
Net income (Includes depreciation expense and gain)
56,000
Gain on sale of equipment
4,000
Additional information:
1.
Equipment with a cost of $30,000 and a book value of $18,000 was sold
for $22,000 during 2014.
2.
Common stock was issued to retire bonds payable during 2014.
3.
The only items affecting retained earnings in 2014 were net income and
dividends declared and paid.
2. Refer to Mary Kay Cosmetics. What amount of
cash was collected from customers during 2014?
3. Refer to Mary Kay Cosmetics. What is the
amount paid to suppliers for purchases of merchandise during 2014?
4. Refer to Mary Kay Cosmetics. What is the
amount paid for operating expenses during 2014?
5. Refer to Mary Kay Cosmetics. What amount was
paid to acquire equipment during 2014?
6. Refer to Mary Kay Cosmetics. What amount was
recorded as depreciation expense during 2014?
7. Refer to Mary Kay Cosmetics. What amount was
declared and paid for dividends during 2014?