Brecker Inc., a greeting card company, had the following statements prepared as of December 31, 2014. Additional
Question:
Additional information:
1. Dividends in the amount of $6,000 were declared and paid during 2014.
2. Depreciation expense and amortization expense are included in operating expenses.
3. No unrealized gains or losses have occurred on the investments during the year.
4. Equipment that had a cost of $20,000 and was 70% depreciated was sold during 2014.
Instructions
Prepare a statement of cash flows using the direct method. (Do not prepare a reconciliationschedule.)
Transcribed Image Text:
BRECKER INC. COMPARATIVE BALANCE SHEET As oF DECEMBER 31, 2014 AND 2013 Cash Accounts receivable Short-term investments (available-for-sale) Inventory Prepaid rent Equipment Accumulated depreciation-equipment Copyrights Total assets 12/31/14 $ 6,000 62,000 35,000 40,000 5,000 12/31/13 $7,000 51,000 18,000 60,000 4,000 154,000 (35,000) 46,000 $313,000 130,000 (25,000) 50,000 $295,000 Accounts payable Income taxes payable Salaries and wages payable Short-term loans payable Long-term loans payable Common stock, $10 par Contributed capital, common stock Retained earnings Total liabilities and stockholders' equity 46,000 40,000 6,000 4,000 8,000 69,000 4.000 8,000 10,000 60,000 100,000 30,000 57,000 $313,000 100,000 30,000 36,000 $295,000 BRECKER INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2014 Sales revenue Cost of goods sold Gross profit Operating expenses Operating income Interest expense Gain on sale of equipment Income before tax Income tax expense Net income $338,150 175,000 163,150 120,000 43,150 $11,400 2,000 9,400 33,750 6,750 $27,000
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 36% (11 reviews)
BRECKER INC STATEMENT OF CASH FLOWS For the Year Ended December 31 2014 Cash flows from operating ac...View the full answer
Answered By
Deepak Pal
Hi there! Are you looking for a committed, reliable, and enthusiastic tutor? Well, teaching and learning are more of a second nature to me, having been raised by parents who are both teachers. I have done plenty of studying and lots of learning on many exciting and challenging topics. All these experiences have influenced my decision to take on the teaching role in various capacities. As a tutor, I am looking forward to getting to understand your needs and helping you achieve your academic goals. I'm highly flexible and contactable. I am available to work on short notice since I only prefer to work with very small and select groups of students. Areas of interest: Business, accounting, Project management, sociology, technology, computers, English, linguistics, media, philosophy, political science, statistics, data science, Excel, psychology, art, history, health education, gender studies, cultural studies, ethics, religion. I am also decent with math(s) & Programming. If you have a project you think I can take on, please feel welcome to invite me, and I'm going to check it out!
5.00+
1+ Reviews
10+ Question Solved
Related Book For
Intermediate Accounting
ISBN: 978-1118147290
15th edition
Authors: Donald E. Kieso, Jerry J. Weygandt, and Terry D. Warfield
Question Posted:
Students also viewed these Accounting questions
-
Vaughn Inc., a greeting card company, had the following statements prepared as of December 31, 2017. VAUGHN INC. COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2017 AND 2016 12/31/17 12/31/16 Cash...
-
Jackson Ski Haus had the following statements prepared as of December 31, 2014. Additional information: 1. Dividends in the amount of $20,000 were declared and paid during 2014. 2. Depreciation...
-
1. When 30% of a number is added to the number, the result is 78. a) x = 78.30(78) b) x +.30 = 78 c) x +.30x = 78 d) 30x = 78
-
Ira Icandoit is a staff auditor in the internal audit function of a small manufacturing company located in western Kansas. Ira recently completed a professional development course on a statistical...
-
In Fig. 12.56, the rms value of the line voltage is 208 V. Find the average power delivered to the load. Z = 30 45 V.
-
Brainiac Company purchased a delivery truck for R$30,000 on January 1, 2011. The truck has an expected residual value of R$2,000, and is expected to be driven 100,000 miles over its estimated useful...
-
You plan to investigate the variation of taxi-in times for flights that have landed in Los Angeles. Name at least two measures of variation for those data.
-
In its 2007 annual report, Wal-Mart reported inventory of $33,685 million on January 31, 2007, and $31,910 million on January 31, 2006, cost of sales of $264,152 million for fiscal year 2007, and net...
-
Following a discussion with the airport's operations manager, more accurate data on the take-off and landing of aeroplanes have come to light. Aeroplanes are classified into two sizes: small and...
-
In 1973, the President of Texaco, Inc., made a statement to a U.S. Senate subcommittee concerned with air and water pollution. The committee was concerned with, among other things, the noise levels...
-
Each of the following items must be considered in preparing a statement of cash flows (indirect method) for Turbulent Indigo Inc. for the year ended December 31, 2014. a) Plant assets that had cost...
-
Data for Brecker Inc. are presented in E23-13. Instructions Prepare a statement of cash flows using the indirectmethod. BRECKER INC. COMPARATIVE BALANCE SHEET As oF DECEMBER 31, 2014 AND 2013 Cash...
-
Is the sailboat seen in the illustration sailing at a location closer to the North Pole or closer to the Equator? How can you tell? A B
-
STARNDARD COST CARD material 6kg @1,500 per kg , direct labour 5hr@20,000Tsh per hour, Overhead: variable 5hr@7000 per hour, Fixed 5hrs @ 9000 per hr 2.actual data october 2019 output 990 units ,...
-
Given the selected information of Thai Union PCL. Estimate the company's WACC. Table 1: Liabilities and Shareholder's Equity of Thai Union PCL. CURRENT LIABILITIES Bank overdrafts and short-term loan...
-
Juniper Enterprises sells handmade clocks. Its variable cost per clock is $8.50, and each clock sells for $17.00. The companys fixed costs total $10,328. Suppose that Juniper raises its price by 40...
-
Product Name: Choco Bliss Manufacturer: twinkies Year of Discontinuance: 1980s 1.What would be the Target Market? (5 marks) 2.4 P's (10 marks) 3.SWOT & PESTEL-C (10 + 20 = 30 marks) (NO...
-
How do visionary leaders adeptly navigate the delicate balance between assertive decision-making and collaborative consensus-building to optimize organizational performance and foster sustainable...
-
Consider the following hypothetical process in which heat flows from a low to a high temperature. For copper, the molar heat capacity at constant pressure is 0.385 J mol -1 K -1 . (For simplicity,...
-
Given the table below, about how much force does the rocket engine exert on the 4.0 kg payload? Distance traveled with rocket engine firing (m) Payload final velocity (m/s) 500 320 490 310 1020 450...
-
Thermax Inc. has 10 million shares outstanding. The firm is planning to issue an additional 1 million shares. After selling these shares at their $15 per share offering price and netting 97% of sale...
-
What are closing entries and why are they necessary?
-
What are closing entries and why are they necessary? Discuss.
-
Selanne Enterprises made the following entry on December 31, 2005. Dec. 31, 2005 Interest Expense ...................................... 10,000 Interest Payable...
-
When reviewing the descriptions of the work environments, identify elements that appear to foster employee motivation and group cohesion among employees. Relate your analysis. For example, there...
-
During the current year, Aberdeen Company incurred the following product costs: Direct materials used in production $268,000 Direct labor $123,000 Manufacturing overhead $181,000 The company's...
-
Organizational behavior refers to the attitudes and behaviors of individuals and groups in organization, It refers to the systematic study of those attitudes and behaviors and provides insights about...
Winning The Week Now Planning A Productive Week Daily 1st Edition - ISBN: 979-8843929428 - Free Book
Study smarter with the SolutionInn App