Chapter 1, Problem 27E

Zoogle has the following selected data ($ in millions):Net sales                                $24,651Net income                               6,620Operating cash flows                9,326Total assets, beginning           41,768Total assets, ending                50,497Required:1. Calculate the return on assets.2. Calculate the cash return on assets.3. Calculate the cash flow to sales ratio and the asset turnover ratio.

Suppose your company sells goods for $300, of which $200 is received in cash and $100 is onaccount. The goods cost your company $125 and were paid for in a previous period. Your companyalso recorded salaries and wages of $70, of which only $30 has been paid in cash.Required:1. Show the journal entries to record these transactions.2. Calculate the amount that should be reported as net cash flow from operating activities.3. Calculate the amount that should be reported as net income.4. Show how the indirect method would convert net income (requirement 3) to net cash flowfrom operating activities (requirement 2).5. What general rule about converting net income to operating cash flows is revealed by youranswer to requirement 4?

Kingbird Import Company had credit sales of $1824000. The beginning accounts receivable balance was $188000 and the ending accounts receivable balance was $319000. Using the direct method of reporting cash flows from operating activities, what were the cash collections from customers during the period? $2069000. $1824000. $2012000. O $1693000. OO

Find out the company's cash ratio which has cash of P7500, cash equivalents of P26,250, accounts receivables of P4,300. Its total current liabilities are P45,000. What are cash equivalents? Exe2.1

Cutler Company has a cash account with a balance of $250,000 with Wright Bank and a cash account with an overdraft of $5,000 at Lowe Bank. What would the current assets section of Cutler’s balance sheet include for “cash” under IFRS? Under U.S. GAAP?

Prepare a complete statement of cash flows using the indirect method for the current year. Note: Amounts to be deducted should be indicated with a minus sign. Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, and (4) all debits to Accounts Payable reflect cash payments for inventory. FORTEN COMPANY Income Statement For Current Year Ended December 31 Sales   $ 667,500 Cost of goods sold   302,000 Gross profit   365,500 Operating expenses (excluding depreciation) $ 149,400   Depreciation expense 37,750 187,150 Other gains (losses)     Loss on sale of equipment   (22,125) Income before taxes   156,225 Income taxes expense   48,050 Net income   $ 108,175   FORTEN COMPANY Comparative Balance Sheets December 31   Current Year…

Capstone Turbine Corporation produces and sells turbine generators for such applications as charging electric, hybrid vehicles. Capstone Turbine reported the following financial data for a recent year (in thousands): Net cash flows from operating activities              $(23,018) Cash and cash equivalents                                     32,221 a. Determine the monthly cash expenses. Round to one decimal place.b. Determine the ratio of cash to monthly cash expenses. Round to one decimal place.c. Based on your analysis, do you believe that Capstone Turbine will remainin business?

An analyst gathers the following data for a firm: Sales: $1, 850 Cost of Goods Sold: $501 Inventory: $124 Accounts Receivables: $188 Accounts Payables: $153 Based on this information, calculate the firm's Operating Cash Conversion Cycle.

The following selected account balances appeared on the financial statements of the Washington Company. Use these balances to answer the questions that follow. Accounts Receivable, Jan. 1 Accounts Receivable, Dec. 31 Accounts Payable, Jan. 1 Accounts Payable, Dec. 31 Inventory, Jan. 1 Inventory, Dec. 31 15,279 Sales 66,715 Cost of Goods Sold 36,365 The Washington Company uses the direct method to calculate net cash flow from operating activities. Assume that all accounts payable are owed to merchandise suppliers. $13,081 Oa. $73,715 Ob. $70,015 Oc. $66,715 Od. $59,715 6,081 5,652 9,352 7,633