Professional Documents
Culture Documents
2014
$196,344
213,354
273,375
69,012
335,340
692,550
(121,500)
$1,658,475
$247,860
40,095
267,300
534,600
568,620
$1,658,475
ODGERS INC.
Income Statement Data
For the Year Ended December 31, 2014
Sales
Less:
Cost of goods sold
Operating expenses, excluding depreciation
Depreciation expense
Income taxes
Interest expense
Loss on sale of plant assets
Net income
$329,168
30,156
112,995
66,290
11,494
18,225
Additional information:
1. New plant assets costing $243000 were purchased for cash during the year.
2. Old plant assets having an original cost of $139,725 and accumulated depreciation
of $117,855 were sold for $3,645 cash.
3. Bonds matured and were paid off at face value for cash.
4. A cash dividend of $63,254 was declared and paid during the year.
Further analysis preveal that account payable pertain to merchandise creditors.
Prepare a statement of cash flow for Odgers Inc using the direct method.
se creditors.
ODGERS INC.
Statement of Cashflow
For the Year Ended December 31, 2014
2013
$117,612
92,340
249,926
63,180
264,870
589,275
(126,360)
$1,250,843
$163,539
51,030
354,780
425,250
256,244
$1,250,843
$943,958
Net Increase in cash
Cash at beginning of period
Cash at end of period
568,328
$375,630
GERS INC.
nt of Cashflow
ded December 31, 2014
$
$
$
$
$
268,296
46,923
11,494
66,290
$
$
activities
$
$
$
$
$
$
822,944
-393,003
429,941
3,645
-70,470
-243,000
$
-309,825
-41,384
$
$
$
78,732
117,612
196,344
109,350
-87,480
-63,254
Computation
Cash Receipt from customers
Sales
Less: Increase in Acc Rec
Cash receipt from customers
Cash Payment to suppleirs
Cost of goods sold
Add: Increase in Inventory
Cost of purchases
Less: Increase in account payable
Cash Payment to suppleirs
Cash Payment for Operating Expenses
Operating expenses excluding dep exp.
Add: Increase in prepaid exp.
Add: Decrease in accrued exp payable
Cash Payment for Operating Expenses
ustomers
$
$
$
943,958
121,014
822,944
nt payable
$
$
$
$
$
329,168
23,449
352,617
84,321
268,296
erating Expenses
luding dep exp.
ed exp payable
erating Expenses
$
$
5,832
10,935
30,156
$
$
16,767
46,923