Houston Shoe Co is preparing a statement of cash flows using the indirect method. Indicate on the blanks below whether each item is an operating activity (O), an investing activity (I), a financing activity (F), a noncash transaction (N), or an item that would not appear on or with Houston's statement (NA). _____ 1. The change in Accounts Payable during the period _____ 2. Depreciation expense
_____ 3. Exchange of stock for a building _____ 4. Purchase of equipment _____ 5. Purchases of treasury stock _____ 6. Borrowing by issuing bonds _____ 7. A gain on the sale of equipment _____ 8. Collections from customers _____ 9. Dividends paid _____ 10. Income taxes paid _____ 11. Proceeds from sale of long-term investments at a loss _____ 12. The change in Inventory for the period
Fill in the blank(s) with correct word
1. O 7. O
2. O 8. NA
3. N 9. F
4. I 10. NA
5. F 11. I O*
6. F 12. O
*For loss, add back to net income.
You might also like to view...
Under a sale and leaseback arrangement, the seller of the leased property is the lessee and the buyer is the lessor.
Answer the following statement true (T) or false (F)
If you are not yet committed to living in a particular geographic region, rental housing is a good option for you
Indicate whether this statement is true or false.
Maple Inc. manufactures a product that costs $45 per unit plus $50,000 in fixed costs each month. Maple currently sells 5,000 of these units per month for $60 each. If Maple leased a machine for $30,000 a month, it could add features to the product that would allow it to sell for $75 each. It would cost an additional $10 per unit to add these features. How much would Maple's profit be affected if it leased the machine and added features to its product?
A. Increase $295,000 B. Decrease $5,000 C. Decrease $295,000 D. Increase $5,000
In a business process, a(n) ________ is defined as a collection of activities.
A. activity B. repository C. data flow D. control flow E. role