Waubansee Corp. uses the direct method to prepare its statement of cash flows. Relevant balances for Waubansee

Question:

Waubansee Corp. uses the direct method to prepare its statement of cash flows. Relevant balances for Waubansee at December 31, 2012 and 2011, are as follows.

                    

Additional information:
  1. Waubansee purchased $5,000 in equipment during 2012.
  2. Waubansee allocated one-third of its depreciation expense to selling expenses and the remainder to general and administrative expenses.
  3. Bad debt expense for 2012 was $5,000, and write-offs of uncollectible accounts totaled $3,800.

Instructions
Determine what amounts Waubansee should report in its statement of cash flows for the year ended December 31, 2012, for the following items.
  (a) Cash collected from customers.
  (b) Cash paid to suppliers.
  (c) Cash paid for interest.

  (d) Cash paid for income taxes.

  (e) Cash paid for selling expenses.

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Related Book For  answer-question

Intermediate Accounting

ISBN: 978-0470587287

14th Edition

Authors: kieso, weygandt and warfield.

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