In calculating cash flows from operating activities using the indirect method , a loss on the sale of equipment will appear as a ( n ) Question 15
The net income reported on the income statement for the current year was $ 440,000 . Depreciation was $ 62,000 . Accounts receivable and inventories decreased by $ 20,000 and $ 32,000 , respectively . Prepaid expenses and accounts payable increased , respectively , by $ 2,000 and $ 16,000 . How much cash was provided by operating activities ? Question 16
The statement of cash flows will not provide insight into Question 17
Laser Performance Inc . has the following information available |
( amount in thousands ). |
Net Income |
$ 30,000 |
Average Total Liabilities |
80,000 |
Average Current Liabilities |
36,000 |
Cash Provided by Operations |
48,000 |
Cash Sales |
130,000 |
Capital Expenditures |
22,000 |
Dividends Paid |
6,000 |
What is the current cash debt coverage ? Question 18
Authentic Exposure Company had the following transactions that took place during the year : I . Paid amount owing to suppliers $ 2,750 . II . Purchased new equipment for $ 5,000 by signing a long-term note payable . III . Purchased a patent and paid $ 15,000 cash for the asset .