The accounting records of the Porter Trading Post Company include these accounts: Requirement 1. Prepare the companys
Question:
The accounting records of the Porter Trading Post Company include these accounts:
Requirement
1. Prepare the company’s net cash provided by (used for) operating activities section of the statement of cash flows for the month of December. Use the indirect method. Do you see any potential problems in the company’s cash flows from operations? How can you tell?
Transcribed Image Text:
Accounts Receivable Cash Inventory 4,000 437,000 Dec 1 Receipts 567,000 | Payments 446,000 Credit sales 538,000 | Collections 537,000 Purchases Dec 31 Dec 1 Dec 1 40,000 8,000 Cost of Sales 434,000 Dec 31 Dec 31 161,000 9,000 7,000 Accumulated Deprec.–Equipment Accounts Payable Dec 1 327,000 | Purchases Equipment Dec 1 Depreciation 7,000 Payments Dec 31 51,000 Dec 1 183,000 Acquisition 14,000 Dec 31 14,500 437,000 Dec 31 197,000 58,000 124,500 Accrued Liabilities Dec 1 25,000 | Accruals Dec 31 Retained Earnings Dec 1 14,000 | Net Income Dec 31 18,000 Quarterly 23,000 Dividend 16,000 62,000 20,000 Payments 68,000
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Related Book For
Financial Accounting
ISBN: 978-0134725987
12th edition
Authors: C. William Thomas, Wendy M. Tietz, Walter T. Harrison Jr.
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