Refer to the information in Problem 17-9A. Prepare a statement of cash flows for 2014 using the

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Refer to the information in Problem 17-9A. Prepare a statement of cash flows for 2014 using the direct method to report cash inflows and outflows from operating activities.

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Lockerbie & Hole Inc. Income Statement For Year Ended December 31, 2014 (000s) Lockerbie & Hole Inc. Post-Closing Trial Balance (000s) December 31 2014 Account 2013 Revenues: Cash Receivables $2,160 2,100 $1,260 Sales.. $3,300 1,440 Expenses: Cost of goods sold. Merchandise inventory.. Property, plant and equipment. Accumulated depreciation. 2,280 3,960


a. All accounts payable balances result from merchandise purchases.
b. All sales are credit sales.
c. All credits to accounts receivable are receipts from customers.
d. All debits to accounts payable result from payments for merchandise.
e. All other expenses are cashexpenses.

Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive...
Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...
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Related Book For  book-img-for-question

Fundamental Accounting Principles Volume II

ISBN: 978-1259066511

14th Canadian Edition

Authors: Larson Kermit, Jensen Tilly

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