Please break answer down on excel sheet for me, not fully understanding and want
ID: 2492093 • Letter: P
Question
Please break answer down on excel sheet for me, not fully understanding and want to make sure my answers are correct.
Golden Corp., a merchandiser, recently completed its 2015 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. The company's balance sheets and income statement follow GOLDEN CORPORATION Comparative Balance Sheets December 31, 2015 and 2014 2015 2014 Assets Cash Accounts receivable Inventory $ 217,000 $153,000 91,000 77,000 627,000 539,000 Total current assets Equipment Accum. depreciation Equipment 935,000 769,000 367,000 325,000 (179,000) (117,000) Total assets $1,123,000 $977,000 Liabilities and Equity Accounts payable Income taxes payable $ 93,000 84,000 48,000 38,000 Total current liabilities Equity Common stock, $2 par value Paid-in capital in excess of par value, common st Retained earnings 141,000 122,000 618,000 594,000 209,000 173,000 155,000 88,000 ock Total liabilities and equity $1,123,000 $ 977,000 GOLDEN CORPORATION Income Statement For Year Ended December 31, 2015 Sales Cost of goods sold $ 1,857,000 1,099,000 758,000 Gross profit Operating expenses $62,000 507,000 Depreciation expense Other expenses 569,000 Income before taxes Income taxes expense 189,000 25,000 Net income $164,000Explanation / Answer
Cash Flow Statement Operating Activities: Net Income before tax $189,000.00 Depreciation $62,000.00 Increase in Account Receivable -$14,000.00 Increase in Inventory ($88,000.00) Increase in Account Payble $9,000.00 Cas from Operation $158,000.00 Less: Tax Paid $15,000.00 Cash flow from Operating Activities $143,000.00 Investing Activities: Purchase of Equipment -$42,000.00 Cash from Investing Activities ($42,000.00) Financing Activities: Issue of Common Stock $60,000.00 Dividend paid -$97,000.00 Cash from Financing Activities -$37,000.00 Net Cash Flow for the year $64,000.00 Opening Cash Balance $153,000.00 Closing Cash Balance $217,000.00