BE 4.12 – Hilliard Healthcare Co (Prepare Invest and Finance sections)
Intermediate Accounting
Spiceland, Nelson, and Thomas
10th Edition
Prepare the cash flows from investing and financing activities sections of the statement of cash flows
Prepare the cash flows from investing and financing activities sections of the statement of cash flows
They give you the net income, depreciation, prepaid rent, salaries, and taxes payable. They ask you for a cash flow statement using the indirect method.
Given a summary of cash transactions during the year they ask you to prepare a statement of cash flows under IFRS.
Given the accounts receivable and inventory balances at both the beginning and ending of the year along with the sales and gross profit… determine both the receivables and inventory turnover ratios.
BE 4-16: They provide net sales, income, assets and equity and ask for profit margin, return on assets, return on equity. BE 4-17: Asks for the DuPont framework for return on equity.
Given the net sales, the total inventory at both the beginning and end of the year, and the inventory turnover ratio… calculate the gross profit.
When preparing the statement of cash flows through the use of the indirect method, how many of the given items shall be added to net income?
How much would the permanent earnings be at the end of the current year?
Which of the following choices shall be reported as the income from the discontinued operations when the asset has NOT yet been sold?
All choices are ways to acknowledge a comprehensive income as per IFRS EXCEPT for one.