Waggoner Company prepares the following statement of cash flows under the direct method: Required Identify the errors
Question:
Required
Identify the errors Waggoner has made in its statement and prepare a corrected statement. Assume that the beginning and ending cash balances are correct.
Transcribed Image Text:
Waggoner Company Statement of Cash Flows December 31, 2012 Cash flows from operating activities Cash receipts from customers Less cash payments $423 To suppliers S 91 For equipment To employees 58 12 205 S218 For taxes Net cash used by operating activities Cash flows from investing activities Depreciation expense Purchase of short-term investments Net cash used by investing activities Cash flows from financing activities Payment of dividends Repayment of bonds Net cash used by financing activities Net increase in cash Cash, beginning of the year Cash, end of the year s 14 (28) (14) (105) (98) S106 10 s 88
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 88% (9 reviews)
Waggoner made the following mistakes 1 Cash payments for equipment should be in investing activities ...View the full answer
Answered By
OTIENO OBADO
I have a vast experience in teaching, mentoring and tutoring. I handle student concerns diligently and my academic background is undeniably aesthetic
4.30+
3+ Reviews
10+ Question Solved
Related Book For
Question Posted:
Students also viewed these Accounting questions
-
Prepare the statement of cash flows under the direct method for the Snail Company using the information from P6- 9 and the following cash flow information: In P6-9 Snall Company Balance Sheet At...
-
Prepare the statement of cash flows under the direct method for Easth off, Incorporated using the information from P6- 13 and the following cash flow information: In P6-13 Easthoff, Incorporated...
-
The Ladies Store presented the following statement of cash flows for the year ended December 31, 2009: THE LADIES STORE Statement of Cash Flows For Year Ended December 31, 2009 Cash received: From...
-
My division had another great year last year. We all worked hard, and the results were there. But again we got no reward for our hard work. It's very frustrating. - Division Manager, General Products...
-
Define some unfair labor practices that can occur during a union election campaign.
-
Brothers Harry and Herman Hausyerday began operations of their machine shop (H & H Tool, Inc.) on January 1, 2016. The annual reporting period ends December 31. The trial balance on January 1, 2018,...
-
Are the skills managers need different for lower-level and middle managers? Do managers at Amazon use managerial skills differently than those at UPS or Uber?
-
Queensland Company reports the following operating results for the month of April. Management is considering the following course of action to increase net income: Reduce the selling price by 4%,...
-
Product H is a seasonal product, which is stocked only once at the beginning of the selling season. Currently, we are forecasting that the demand for Product H will be 100 units. Based on historical...
-
1 Carry out a PESTEL analysis of Alibaba at the time of the case. Evaluate the balance of opportunities and threats, using the same kind of figure as in Illustration 2.1. 2 Draw a basic sociogram of...
-
Jones Corp. reports the following cash flows from investing and financing activities over the past three years (in thousands): Required From the information above, describe the major ways in which...
-
McDoogle Company's balance sheet showed an accounts receivable balance of $75,000 at the beginning of the year and $97,000 at the end of the year. McDoogle reported sales of $1,150,000 on its income...
-
Find the trigonometric Fourier series for the sawtooth wave shown in Fig. 17-39 and plot the line spectrum. Compare with Example 17.1. Data from Example 17.1 Find the Fourier series for the waveform...
-
Mountain View Landscaping provided landscaping services for Mile High Condominiums. Mile High Condominiums paid Mountain View Landscaping $12,000 in advance for a landscaping service contract that...
-
Metallica Bearings, Inc., is a young start-up company. No dividends will be paid on the stock over the next 12 years because the firm needs to plow back its earnings to fuel growth. The company will...
-
Bond X is a ten-year semi-annual coupon bond, which was issued at par 7 years ago. The yield to maturity 7 years ago was 6%. How much does Bond X worth currently when the yield to maturity is 8% now....
-
How much of a 10% Triton X-100 stock solution should be added to make 30 ml of 0.1% Triton X-100 in PBS?
-
Imagine you are meeting with your after-school basketball club at your campus recreation center. The club wants you to come up with a social media strategy to promote new member sign-ups so you can...
-
A new strain of influenza has just been declared an epidemic by health officials. Currently, 3,000 people have the disease and new victims are being added at the rate of R(t) = 50t people per week....
-
3.16. For a system with non-identical service rates (see Sect. 3.5) and a limit of N jobs in the system (Eq. 3.13), obtain an expression for the mean service time per job, E[Ts], as a function of the...
-
The accounting firm of Deloitte & Touche is the largest international accounting firm in the world as ranked by total revenues. For the last two years, Deloitte & Touche reported the following for...
-
Crystal Clean Services, LLC, provides cleaning services for office buildings. The firm has 10 members in the LLC, which did not change between 2007 and 2008. During 2008, the business expanded into...
-
On May 1, 2007, Crystal Polles and Doug Kovac form a partnership. Polles agrees to invest $16,500 in cash and merchandise inventory valued at $43,500. Kovac invests certain business assets at...
-
Colleen Company has gathered the following data pertaining to activities it performed for two of its major customers. Number of orders Units per order Sales returns: Number of returns Total units...
-
Starting next year you plan on saving for a trip 10 years from now. You plan to save a $1000 a year from year 1 to year 9 because in year 10 there is no point in putting money away if you are going...
-
Write a C++ program to implement a stack using linked lists and provide functions for push, pop, and peek operations.
Study smarter with the SolutionInn App