For the year just ended, the Hanna Company had net income of $86,000. The balances in the
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Question:
For the year just ended, the Hanna Company had net income of $86,000. The balances in the company's current asset and current liability accounts at the beginning and end of the fiscal year are as follows: |
December 31 | ||||
End of the year | beginning of the year | |||
Current assets: | ||||
Money | ps | 61,000 | ps | 82,000 |
accounts receivable | ps | 160.000 | ps | 190.000 |
Inventory | ps | 433,000 | ps | 340.000 |
Prepaid expenses | ps | 12,500 | ps | 13,500 |
current liabilities: | ||||
Accounts payable | ps | 352,000 | ps | 382,000 |
Accrued Obligations | ps | 8,000 | ps | 12,000 |
Income taxes payable | ps | 33,000 | ps | 26,000 |
The Accumulated Depreciation account had total credits of $42,000 during the year. Hanna Company posted no profit or loss for the year. |
Required: |
Using the indirect method, determine the net cash provided by operating activities for the year. (List any cash deductions and cash outflows as negative amounts.) |
Related Book For
Managerial Accounting
ISBN: 978-1259307416
16th edition
Authors: Ray Garrison, Eric Noreen, Peter Brewer
Posted Date: