contestada

hampton company reports the following information for its recent calendar year. income statement data selected year-end balance sheet data sales$ 160,000accounts receivable increase$ 10,000 expenses: inventory decrease16,000 cost of goods sold100,000salaries payable increase1,000 salaries expense24,000 depreciation expense12,000 net income$ 24,000
Required: Prepare the operating activities section of the statement of cash flows for Hampton Company using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Cash flows from operating activities Net income Depreciation expense Inventory decrease Salaries payable increase Accounts receivable increase Net cash provided by operating activities 0

Respuesta :

Salaries payable increased by $1,000, inventory decreased by $6,000, depreciation cost was $12,000, and accrued interest was increased by (10,000) dollars. Cash flow from operating activities is negative and totals $43,000.

The following is how Hampton Company prepared its statement of cash flows' operating activities using the indirect method:

Operating Expenses and Cash Flow

$24,000 in profit

Non-cash item adjustments:

A $12,000 depreciation cost

Compensation for Variations in Working Capital

An increase in the amount of receivables ($10,000)

$16,000 less in inventory

An increase in the amount of salary that is payable $1,000

$43,000 in Net Operating Cash

Sales are computed as sales less cost of goods sold, selling, general and administrative costs, operating costs, depreciation, interest, taxes, and other costs. Net income (NI), often known as net earnings, is the difference between these two figures. Investors might use this figure to gauge the extent to which an organization's revenue outpaces its costs. This figure can be found on an organization's income statement and serves as a gauge of profitability.

Learn more about Net income here

https://brainly.com/question/15570931

#SPJ4

Otras preguntas