Question: Estimate cash flow from operating activities for LEO Inc. using the following information: Net income Depreciation Increase in inventories Decrease in accounts receivable Increase in
Estimate cash flow from operating activities for LEO Inc. using the following information: Net income Depreciation Increase in inventories Decrease in accounts receivable Increase in accounts payable Decrease in accrued salaries & wages Increase in prepaid expenses $90,000 10,000 20,000 1,000 7,000 2,500 5,000 LEO LTD currently uses the following two CCA classes, Class 8 (CCA rate 35%) Class 5 (CCA rate 20%) During 2019, the company purchased $85,000 worth of Class 8 assets and $200,000 worth of Class 5 assets. Calculate the company's total CCA in 2019 and 2020 due to these two purchases
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
