1. The following information is available for Elm Tree Corporation for the year ended December 31, 2015:

	Collection of the principal of a long-term loan from a supplier	$25,000
	Purchase of equipment in cash.	12,000
	Proceeds from the sale of long-term investments at book value	28,000
	Issuance of common shares in cash	23,500
	Payment of dividends in cash	47,250
	Purchase of land through the issuance of common shares	35,000

In addition, the following information is available from the comparative statements of financial position of Elm Tree Corporation at the end of 2015 and 2014:

		December 31, 2015			December 31, 2014
	Money		$ 95,900	$16,000
	accounts receivable		24.500	21,250
	prepaid insurance		13,500	9,000
	Total current assets		$ 133,900	$46,250
	Accounts payable		$36,250	$33,500
	Salaries to pay		5,100	8,200
	Total current liabilities		$41,350	$41,700

Elm Tree Corporation reported a profit of $51,750 and recorded a depreciation expense of $19,000 in the year 2015. Using the indirect method, determine the net cash provided by operating activities for the year ended December 31, 2015

b. ADM Corporation uses the perpetual inventory system and had the following information available for 2019:

					Units			Unit cost		Total cost
Ene	1		Initial inventory	15		$4.00			$ 60
	20		Purchase	60		4.40			264
	21		Sale	Sixty-five		-			-
Jul	25		Purchase	30		4.20			126
Oct	20		Purchase	45		4.80			216
Nov	15		Sale	75		-			-

Suppose the company uses the FIFO cost method. What was the value of inventory after the sale on November 15?

(Use unrounded numbers in your calculations, but round your final answer to the nearest cent.)

Answer rating: 100% (QA)

a Net Cash Provided by Operating Activities for Elm Tree Corporation To calculate the net cash provi... View the full answer