Problem 17-7A (Part Level Submission) The following are the financial statements
ID: 2334650 • Letter: P
Question
Problem 17-7A (Part Level Submission) The following are the financial statements of Nosker Company. NOSKER COMPANY Comparative Balance Sheets December 31 2017 2016 Assets Cash Accounts receivable Inventony Equipment Accumulated depreciation-equipment $34,000 $19,000 14,000 20,000 77,000 (29,000) (23,000) $122,000 $107,000 32,000 26,000 59,000 Total Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings $28,000 16,000 8,000 32,000 13,000 38,000 $122,000 $107,000 7,000 26,000 17,000 44,000 Total NOSKER COMPANY For the Year Ended December 31, 2017 Sales revenue Cost of goods sold Gross profit Operating expenses Income from operations Interest expense Income before income taxes Income tax expense Net income $241,000 175,000 66,000 23,000 43,000 2,000 41,000 7,000 $34,000 Additional data:Explanation / Answer
Statement of cash flow Cash flow from operating activities Net income 34,000 Adjustment to reconcile net income to net cash provided by operating activities Depreciation expense 16,500 increase in accounts receivable -18000 increase in inventory -6,000 increase in accounts paybale 12,000 decrease in income taxes payable -1000 3,500 net cash provided by operating activities 37,500 Cash flow from investing activities Sale of Equipment 7,500 net cash provided by investing activities 7,500 Cash flow from financing activities Issuance of common stock 4,000 Redemption of bonds -6,000 payment of dividends -28,000 net cash provided by financing activities -30,000 net increase in cash 15,000 cash at beginning of period 19,000 cash at end of period 34,000 Free cash flow net cash provided by operating activities 37,500 less: Capital expenditures 0 cash dividends -28,000 9,500 answer