Posted: September 9th, 2023

This case is adapted from Appendix B of the exposure draft leading up to the FASB’s

This case is adapted
from Appendix B of the exposure draft leading up to the FASB’s standard on cash
flow reporting. Prepare in good form an
Statement of Cash Flow. Use the direct format. The following information is about the
activities of Company D, a diversified multinational corporation with interests
in manufacturing and financial services, for the year ending December 31, 20XX:

a. Company D purchased new property, plant and
equipment for $4,000. The company also
sold some of its equipment with a book value of $1,900 for $2,500.
b. Company D entered into capital lease
transactions for the use of new equipment, and the related lease obligation was
$750.
c. Company D purchased all the common stock
of Company ABC for $900 in cash. Company
D thereby acquired Company ABC’s working capital other than cash (a net current
liability of $100) and its property, plant and equipment valued at $3,000,
while assuming Company ABC’s long term debt of $2,000.
d. Cash borrowed by Company D for the year
consisted of short-term debt of $75 and long term debt of $1,250.
e. Company D paid $300 on its short-term
debt and $125 on capital lease obligations during the year.
f. Company D issued $750 in common stock
during the year, $250 of which was issued to settle long-term debt and $500 of
which was issued for cash.
g. Company D paid $450 as dividends to its
stockholders during the year.
h. Company D’s financial services
activities during the year included purchases and sales of investment
securities amounting to $4,700 and $5,000, respectively. Lending activities produced new loans of
$7,500 and collections of loans of $5,800.
Customer deposits in its banking subsidiary increased by $1,100.
i.
The following are the results of Company D’s operations for
the year.

What Citation Formats Do You Support?

We hear “Can you write in APA or MLA?” all the time—and the answer’s a big yes, plus way more! Our writers are wizards with every style—APA, MLA, Harvard, Chicago, Turabian, you name it—delivering flawless formatting tailored to your assignment. Whether it’s a tricky in-text citation or a perfectly styled reference list, they’ve got the skills to make your paper academically spot-on.

Net income

$3,000

Depreciation and
amortization

$1,500

Are Paper Services Legal?

Yes, completely! They’re a valid tool for getting sample papers to boost your own writing skills, and there’s nothing shady about that. Use them right—like a study guide or a model to learn from—and they’re a smart, ethical way to level up your grades without breaking any rules.

Deferred taxes

$150

Changes in
operating working capital items other than cash:

How Much for a Paper?

Prices start at $10 per page for undergrad work and go up to $21 for advanced levels, depending on urgency and any extras you toss in. Deadlines range from a lightning-fast 3 hours to a chill 14 days—plenty of wiggle room there! Plus, if you’re ordering big, you’ll snag 5-10% off, making it easier on your wallet while still getting top-notch quality.

Increase in inventory

$4,000

Decrease in accounts receivable

$2,000

Will Anyone Find Out I Used You?

Nope—your secret’s locked down tight. We encrypt all your data with top-tier security, and every paper’s crafted fresh just for you, run through originality checks to prove it’s one-of-a-kind. No one—professors, classmates, or anyone—will ever know you teamed up with us, guaranteed.

Increase in accounts payable

$1,150

Changes in interest
accruals:

Increase in interest earned but not
received

Do You Rely on AI?

Not even a little—our writers are real-deal experts with degrees, crafting every paper by hand with care and know-how. No AI shortcuts here; it’s all human skill, backed by thorough research and double-checked for uniqueness. You’re getting authentic work that stands out for all the right reasons.

$350

Increase in interest accrued but not
paid

$100

Cash received from
customers for sales of goods

Why Are You Top for Research Papers?

Our writers are Ph.D.-level pros who live for nailing the details—think deep research and razor-sharp arguments. We pair that with top plagiarism tools, free revisions to tweak anything you need, and fast turnarounds that don’t skimp on quality. Your research paper won’t just shine—it’ll set the bar.

$10,000

Cash dividends received

$700

Cash paid to
suppliers, employees

Who’s Behind My Essays?

You’re in good hands with degree-holding pros—many rocking Master’s or higher—who’ve crushed our tough vetting tests in writing and their fields. They’re your partners in this, hitting tight deadlines and academic standards with ease, all while tailoring every essay to your exact needs. No matter the topic, they’ve got the chops to make it stellar.

$6,000

Cash paid for
interest, taxes

$1,750

j.
The
effect on cash and cash equivalents of changes in the exchange rate for the
year was $100.

Tags: Ace My Homework: Essay Help, Assignment Help: USA's #1 Online Assignment Writing Service, Do My Assignment for Me Online - Write Academic Papers, Reliable Online Homework Help For You