Apex Company prepared the statement of cash flows shown below: Apex Company Operating activities: Net income...
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Apex Company prepared the statement of cash flows shown below: Apex Company Operating activities: Net income Statement of Cash Flows-Indirect Method Adjustments to convert net income to cash basis: $ 41,600 $ 20,400 Depreciation Increase in accounts receivable Increase in inventory Decrease in prepaid expenses Increase in accounts payable Decrease in accrued liabilities Increase in income taxes payable (61,600) (25,500) 10,200 54,400 (11,000) 4,400 Net cash provided by (used in) operating activities Investing activities: (8,700) 32,900 Proceeds from the sale of equipment 15,700 Loan to Thomas Company (41,400) Additions to plant and equipment (121,300) Net cash provided by (used in) investing activities (147,000) Financing activities: Increase in bonds payable 88,200 Increase in common stock 38,200 Cash dividends (28,900) Net cash provided by (used in) financing activities Net decrease in cash and cash equivalents Beginning cash and cash equivalents Ending cash and cash equivalents Required: Compute Apex Company's free cash flow. Note: Negative amount should be indicated by a minus sign. Free cash flow $ (88,400) 97,500 (16,600) 28,300 $ 11,700 Apex Company prepared the statement of cash flows shown below: Apex Company Operating activities: Net income Statement of Cash Flows-Indirect Method Adjustments to convert net income to cash basis: $ 41,600 $ 20,400 Depreciation Increase in accounts receivable Increase in inventory Decrease in prepaid expenses Increase in accounts payable Decrease in accrued liabilities Increase in income taxes payable (61,600) (25,500) 10,200 54,400 (11,000) 4,400 Net cash provided by (used in) operating activities Investing activities: (8,700) 32,900 Proceeds from the sale of equipment 15,700 Loan to Thomas Company (41,400) Additions to plant and equipment (121,300) Net cash provided by (used in) investing activities (147,000) Financing activities: Increase in bonds payable 88,200 Increase in common stock 38,200 Cash dividends (28,900) Net cash provided by (used in) financing activities Net decrease in cash and cash equivalents Beginning cash and cash equivalents Ending cash and cash equivalents Required: Compute Apex Company's free cash flow. Note: Negative amount should be indicated by a minus sign. Free cash flow $ (88,400) 97,500 (16,600) 28,300 $ 11,700
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Related Book For
Managerial Accounting
ISBN: 978-0697789938
13th Edition
Authors: Ray H. Garrison, Eric W. Noreen, Peter C. Brewer
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