Prepare statement of cash flows—direct method . The following information is ava
ID: 2470449 • Letter: P
Question
Prepare statement of cash flows—direct method. The following information is available for Taliaferro Corp. for 2014. Cash used to purchase treasury stock $ 48,100 Cash dividends paid 21,800 Cash paid for interest 22,400 Net income 464,300 Sales revenue 802,000 Cash paid for taxes 99,000 Cash received from customers 566,100 Cash received from sale of building (at book value) 197,600 Cash paid for operating expenses 77,000 Beginning cash balance 11,000 Cash paid for goods and services 279,100 Cash received from issuing common stock 355,000 Cash paid to redeem bonds at maturity 200,000 Cash paid to purchase equipment 113,200 Instructions Prepare a statement of cash flows using the direct method.
Prepare statement of cash flows—direct method. The following information is available for Taliaferro Corp. for 2014. Cash used to purchase treasury stock $ 48,100 Cash dividends paid 21,800 Cash paid for interest 22,400 Net income 464,300 Sales revenue 802,000 Cash paid for taxes 99,000 Cash received from customers 566,100 Cash received from sale of building (at book value) 197,600 Cash paid for operating expenses 77,000 Beginning cash balance 11,000 Cash paid for goods and services 279,100 Cash received from issuing common stock 355,000 Cash paid to redeem bonds at maturity 200,000 Cash paid to purchase equipment 113,200 Instructions Prepare a statement of cash flows using the direct method.
Prepare statement of cash flows—direct method. The following information is available for Taliaferro Corp. for 2014. Cash used to purchase treasury stock $ 48,100 Cash dividends paid 21,800 Cash paid for interest 22,400 Net income 464,300 Sales revenue 802,000 Cash paid for taxes 99,000 Cash received from customers 566,100 Cash received from sale of building (at book value) 197,600 Cash paid for operating expenses 77,000 Beginning cash balance 11,000 Cash paid for goods and services 279,100 Cash received from issuing common stock 355,000 Cash paid to redeem bonds at maturity 200,000 Cash paid to purchase equipment 113,200 Instructions Prepare a statement of cash flows using the direct method. Prepare statement of cash flows—direct method. The following information is available for Taliaferro Corp. for 2014. Cash used to purchase treasury stock $ 48,100 Cash dividends paid 21,800 Cash paid for interest 22,400 Net income 464,300 Sales revenue 802,000 Cash paid for taxes 99,000 Cash received from customers 566,100 Cash received from sale of building (at book value) 197,600 Cash paid for operating expenses 77,000 Beginning cash balance 11,000 Cash paid for goods and services 279,100 Cash received from issuing common stock 355,000 Cash paid to redeem bonds at maturity 200,000 Cash paid to purchase equipment 113,200 Prepare statement of cash flows—direct method. The following information is available for Taliaferro Corp. for 2014. Cash used to purchase treasury stock $ 48,100 Cash dividends paid 21,800 Cash paid for interest 22,400 Net income 464,300 Sales revenue 802,000 Cash paid for taxes 99,000 Cash received from customers 566,100 Cash received from sale of building (at book value) 197,600 Cash paid for operating expenses 77,000 Beginning cash balance 11,000 Cash paid for goods and services 279,100 Cash received from issuing common stock 355,000 Cash paid to redeem bonds at maturity 200,000 Cash paid to purchase equipment 113,200 Prepare statement of cash flows—direct method. Prepare statement of cash flows—direct method. Cash used to purchase treasury stock $ 48,100 Cash dividends paid 21,800 Cash paid for interest 22,400 Net income 464,300 Sales revenue 802,000 Cash paid for taxes 99,000 Cash received from customers 566,100 Cash received from sale of building (at book value) 197,600 Cash paid for operating expenses 77,000 Beginning cash balance 11,000 Cash paid for goods and services 279,100 Cash received from issuing common stock 355,000 Cash paid to redeem bonds at maturity 200,000 Cash paid to purchase equipment 113,200 Cash used to purchase treasury stock $ 48,100 Cash dividends paid 21,800 Cash paid for interest 22,400 Net income 464,300 Sales revenue 802,000 Cash paid for taxes 99,000 Cash received from customers 566,100 Cash received from sale of building (at book value) 197,600 Cash paid for operating expenses 77,000 Beginning cash balance 11,000 Cash paid for goods and services 279,100 Cash received from issuing common stock 355,000 Cash paid to redeem bonds at maturity 200,000 Cash paid to purchase equipment 113,200 Instructions Prepare a statement of cash flows using the direct method. Instructions Prepare a statement of cash flows using the direct method. Prepare a statement of cash flows using the direct method. Prepare statement of cash flows—direct method. The following information is available for Taliaferro Corp. for 2014. Cash used to purchase treasury stock $ 48,100 Cash dividends paid 21,800 Cash paid for interest 22,400 Net income 464,300 Sales revenue 802,000 Cash paid for taxes 99,000 Cash received from customers 566,100 Cash received from sale of building (at book value) 197,600 Cash paid for operating expenses 77,000 Beginning cash balance 11,000 Cash paid for goods and services 279,100 Cash received from issuing common stock 355,000 Cash paid to redeem bonds at maturity 200,000 Cash paid to purchase equipment 113,200 Instructions Prepare a statement of cash flows using the direct method.
Explanation / Answer
CASH FLOW STATEMENT- DIRECT METHOD CASH FROM OPERATING ACTIVITIES Cash received from customers 566100 Assuming all sales are crdit sales Cash paid for operating expenses -77000 Cash paid for goods and services -279100 Cash generated from operations before taxes and extraordinary items 210000 less: taxes paid -99000 Net cash flow from operations 111000 CASH FLOW FROM INVESTING ACTIVITIES Cash paid to Purchase equipment -113200 Cash received from sale of building 197600 Net cash flow from investing activities 84400 CASH FLOW FROM FINANCING ACTIVITIES Cash used to pay treasury stock -48100 Cash dividends paid -21800 Cash paid for interest -22400 Cash received from issuing common stock 355000 Cash paid to redeem bonds at maturity -200000 Net cash flow from Financing activities 62700 Total cash flow 258100 Add: Opening balance of cash 11000 Closing balance of cash 269100