Omega Company's accountants have just completed the income statement and balance sheet for the year and...
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Omega Company's accountants have just completed the income statement and balance sheet for the year and have provided the following information (dollars in thousands): INCOME STATEMENT Sales revenue $ 22,600 Expenses Cost of goods sold Depreciation expense Salaries expense Rent expense Insurance expense Utilities expense Interest expense on bonds Loss on sale of investments $ 10,500 2,000 4,070 3,200 1,100 850 450 650 22,820 (220) $ Net loss SELECTED BALANCE SHEET ACCOUNTS Current Year Prior Year $ 65 620 212 23 10 Merchandise inventory $ 150 440 285 38 4 6 Accounts receivable Accounts payable Salaries payable Rent payable Prepaid rent Prepaid insurance 7 17 Other data: The company issued $30,000, 8 percent bonds payable at par during the year. Required: 1. Prepare the cash flows from operating activities section of the statement of cash flows using the direct method. (List cash outflows as negative amounts. Enter your answers in thousands.) Required: 1. Prepare the cash flows from operating activities section of the statement of cash flows using the direct method. (List cash outflows as negative amounts. Enter your answers in thousands.) OMEGA COMPANY Cash Flows from Operating Activities Direct Method (in thousands) Cash flows from operating activities: Cash receipts from customers Cash payments to suppliers Cash payments for salaries Cash payments for rent Cash payments for insurance Cash payments for utilities $ 2. Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method. (List cash outflows and losses as negative amounts. Enter your answers in thousands.) OMEGA COMPANY Cash Flows from Operating Activities Indirect Method (in thousands) Cash flows from operating activities: Adjustments to reconcile net loss to net cash provided by operating activities: Total adjustments $ Omega Company's accountants have just completed the income statement and balance sheet for the year and have provided the following information (dollars in thousands): INCOME STATEMENT Sales revenue $ 22,600 Expenses Cost of goods sold Depreciation expense Salaries expense Rent expense Insurance expense Utilities expense Interest expense on bonds Loss on sale of investments $ 10,500 2,000 4,070 3,200 1,100 850 450 650 22,820 (220) $ Net loss SELECTED BALANCE SHEET ACCOUNTS Current Year Prior Year $ 65 620 212 23 10 Merchandise inventory $ 150 440 285 38 4 6 Accounts receivable Accounts payable Salaries payable Rent payable Prepaid rent Prepaid insurance 7 17 Other data: The company issued $30,000, 8 percent bonds payable at par during the year. Required: 1. Prepare the cash flows from operating activities section of the statement of cash flows using the direct method. (List cash outflows as negative amounts. Enter your answers in thousands.) Required: 1. Prepare the cash flows from operating activities section of the statement of cash flows using the direct method. (List cash outflows as negative amounts. Enter your answers in thousands.) OMEGA COMPANY Cash Flows from Operating Activities Direct Method (in thousands) Cash flows from operating activities: Cash receipts from customers Cash payments to suppliers Cash payments for salaries Cash payments for rent Cash payments for insurance Cash payments for utilities $ 2. Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method. (List cash outflows and losses as negative amounts. Enter your answers in thousands.) OMEGA COMPANY Cash Flows from Operating Activities Indirect Method (in thousands) Cash flows from operating activities: Adjustments to reconcile net loss to net cash provided by operating activities: Total adjustments $
Expert Answer:
Answer rating: 100% (QA)
Omega Company To arrive at cash flows following analyses of the ledgers given is required Amount in dollars in thousands Cost of goods sold Ac Particu... View the full answer
Related Book For
Financial Accounting
ISBN: 978-0078025556
8th edition
Authors: Robert Libby, Patricia Libby, Daniel Short
Posted Date:
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