Calculate certain information for direct method (Learning Objective 4)

20–25 min.

Pilgrim Corporation, a nationwide insurance chain, reported the following selected amounts in its financial statements for the year ended August 31, 2014 (adapted, in millions):

$21,543 15,476 228 4,005 483 1,351

$24,859 18,162 288 4,883 532 994

$ 12 760 3,480 3,879 1,427 936 470 615 4,683

$ 14 581 2,888 4,345 1,610 845 500 675 4,198 Net Sales.............................................................................................

Cost of Goods Sold .............................................................................

Depreciation Expense..........................................................................

Other Operating Expenses...................................................................

Income Tax Expense ...........................................................................

Net Income .........................................................................................

Income Statement Cash and Cash Equivalents ...................................................................

Accounts Receivable .............................................................................

Inventories ............................................................................................

Property and Equipment, Net ................................................................

Accounts Payable..................................................................................

Accrued Liabilities.................................................................................

Long-Term Liabilities ............................................................................

Common Stock .....................................................................................

Retained Earnings .................................................................................

Balance Sheet 2014 2013 2014 2013 Requirement 1. Determine the following for Pilgrim Corporation during 2014. (Enter all amounts in millions.)

a. Collections from customers

b. Payments for inventory

c. Payments of operating expenses

d. Acquisitions of property and equipment; no sales were made during 2014

e. Long-term borrowing, assuming Pilgrim made no payments on long-term liabilities

f. Proceeds from issuance of common stock g. Payment of cash dividends AppendixLO1