Prepare the operating activities section of the statement

Assignment Help Accounting Basics
Reference no: EM131562716

Problem - Thomton Company's income statement contained the condensed information below.

THORNTON COMPANY Income Statement For the Year Ended December 31, 2014

Service revenue

 

$3,273,750

Operating expenses, excluding depreciation

$2,072,250

 

Depreciation expense

185,625

 

Loss on disposal of plant assets

54,000

2,311,875

Income before income taxes

 

961,875

Income tax expense

 

189,000

Net income

 

$772,875

Thomton's balance sheet contained the comparative data at December 31.

 

2014

2013

Accounts receivable

$236,250

$202,500

Accounts payable

138,375

108,000

Income taxes payable

43,875

23,625

Accounts payable pertain to operating expenses.

Prepare the operating activities section of the statement of cash flows using the indirect method.

Reference no: EM131562716

Questions Cloud

Best exemplifies unsystematic risk : Which one of the following best exemplifies unsystematic risk?
Future value and number of annuity payments : If the trust fund is invested at a 4.5 percent rate, compounded monthly, how many months will it last your client once he starts to withdraw the money?
Describe the auditor ethical situation you find : Describe the AUDITOR ethical situation you find. Keep in mind that many/most of these cases also have an ethical component related to the client's managers
Set up a function for the number n : In 2007 it was estimated that about 1.7 billion text messages were sent each day in the United States, and in 2009 it was estimated that this number.
Prepare the operating activities section of the statement : Thomton Company's income statement contained the condensed information below. Prepare the operating activities section of the statement of cash flows
Find the equation for plane altitude h as a function of time : A plane cruising at 220 m/min starts its descent from 2.5 km at 150 m/min. Find the equation for its altitude h as a function of time t.
Explain why it is important to study leadership theory : Explain why it is important to understand your own tendencies and competency levels in relationship to leadership.
Find the equation for the height h of a skier : A straight ski run declines 80 m over a horizontal distance of 480 m.
Develop a business assessment for the company : Develop a business assessment for the company, focusing on managing employees from an HR perspective in a grocery store environment and retail industry.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Filing status for the tax

Elly, whose husband died in Dec. 2009, maintains a household in which her dependent daughter lives. What is her filing status for the tax year 2009? (Note: Elly is the executor of her husband's estate.)

  Describe your approach to customer relationship management

You have decided to open an Internet site to buy and sell used music CD. Describe your approach to customer relationship management for your new business.

  Residual distribution policy with all distributions

if a firm adheres strictly to their residual distribution policy with all distributions in the form of dividends, what would the sale of new common stock by the company suggest? You said no the answer is no dividends were paid. Can you please exp..

  How much of the 305000 purchase price is for section 197

derek purchases a small business from arton september 1 2008. he paid the following amounts for the business.fixed

  The corporation experienced an uninsured flood loss

The corporation experienced an uninsured flood loss (extraordinary) in the amount of $80,000 during the year. The tax rate on this item is 46%.

  Cost of the raw materials requisitioned in june

what is the cost of the raw materials requisitioned in June for each of three jobs?

  On january 1 of year 1 drum line airways issued 3400000 of

on january 1 of year 1 drum line airways issued 3400000 of par value bonds for 3100000. the bonds pay interest

  Trade-offs of appropriate competing values

What are the ethical issues that are involved? Be sure to distinguish between issues that are primarily right-and-wrong (e.g., ethical or moral lapses) versus those that are right-and-right issues in which there are simply tough trade-offs of appr..

  Who is responsible for the materials price variance and

who is responsible for the materials price variance? and what segment of business is responsible for revenues and

  Explain the three main components of stl explain the

what are the three main components of the stl?what is the difference between an stl container and an stl iterator?what

  What is the earnings per share

Dudley Hill Golf Club's market-to-book ratio is currently 2.9 times and the PE ratio is 6.95 times. Dudley Hill Golf Club's common stock is currently selling at $27.26 per share.

  Markus employs a standard costing system during the year a

markus inc. produces a specialized machine part used in forklifts. for last years operations the following data were

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd