Exercise 11.06 – Bert’s Bargain House
Financial Accounting
Spiceland, Thomas, and Herrman
05th Edition and 06th Edition
Analyze four transactions and indicate in which section each item would be reported for Ernie’s Electronics.
Analyze four transactions and indicate in which section each item would be reported for Ernie’s Electronics.
Prepare the operating activities section of the statement of cash flows using the indirect method.
Prepare the operating activities section of the statement of cash flows using the indirect method.
Prepare the statement of cash flows using the indirect method.
Calculate the net cash flows from financing activities for Marigold. Include cash received from collections from customers, interest on notes receivable, collection of notes receivable, sale of investments, and issuance of notes payable. Also include cash paid for the purchase of inventory, interest on notes payable, purchase of equipment, salaries to employees, payment of notes payable, and dividends to shareholders. Make sure to indicate amounts to be deducted with a minus sign.
Prepare the operating activities section of the statement of cash flows using the indirect method.
Calculate net cash flows.
Calculate net cash flows from financing.
Calculate the cash flow to sales ratio and the asset turnover ratio.
Prepare the operating activities section of the statement of cash flows using the direct method.