World Mosaic Furniture Gallery Inc. provided the following data from the company's records for the year ended

Question:

World Mosaic Furniture Gallery Inc. provided the following data from the company's records for the year ended April 30, 2014:
a. Credit sales, $583,900 flows-direct method
b. Loan to another company, $12,500
c. Cash payments to purchase property, plant, and equipment, $59,400
d. Cost of goods sold, $382,600
e. Proceeds from issuance of common shares, $8,000
f. Payment of cash dividends, $48,400
g. Collection of interest, $4,400
h. Acquisition of equipment by issuing short-term note payable, $16,400
i. Payments of salaries, $93,600
j. Proceeds from sale of property, plant, and equipment, $22,400, including $6,800 loss
k. Collections on accounts receivable, $428,600
l. Interest revenue, $3,800
m. Cash receipt of dividend revenue, $4,100
n. Payments to suppliers, $368,500
o. Cash sales, $171,900
p. Depreciation expense, $59,900
q. Proceeds from issuance of note payable, $19,600
r. Payments of long-term notes payable, $50,000
s. Interest expense and payments, $13,300
t. Salary expense, $95,300
u. Loan collections, $12,800
v. Proceeds from sale of investments, $9,100, including $2,000 gain
w. Payment of short-term note payable by issuing long-term note payable, $63,000
x. Depreciation expense, $2,900
y. Income tax expense and payments, $37,900
z. Cash balance: April 30, 2013, $39,300; April 30, 2014, $36,600
Requirements
1. Prepare World Mosaic Furniture Gallery Inc.'s statement of cash flows for the year ended April 30, 2014. Use the direct method for cash flows from operating activities. Follow the format of Exhibit 12A-3 (p. 601), but do not show amounts in thousands. Include an accompanying schedule of non-cash investing and financing activities.
2. Evaluate 2014 from a cash-flow standpoint. Give your reasons.
Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Financial Accounting

ISBN: 978-0133472264

5th Canadian edition

Authors: Charles Horngren, William Thomas, Walter Harrison, Greg Berberich, Catherine Seguin

Question Posted: