Question

$15,000 9,700 5,388 2,120 $ 3,180 Dec. 31, 2017 ALUMNOS For the Year Ended December 31, 2018 ($ in thousands) Sales revenue Operating expenses: Cost of goods sold $ 5,000 Depreciation 400 Insurance 980 Administrative and other 3,400 Total operating expenses Income before income taxes Income tax expense Net income Balance Sheet Information ($ in thousands) Dec. 31, 2018 Assets: Cash $ 620 Accounts receivable 830 Inventory 810 Prepaid insurance 130 Plant and equipment 3,280 Less: Accumulated depreciation (1,160) Total assets $ 4,430 Liabilities and Shareholders' Equity: Accounts payable $ 380 Payables for administrative and other expenses 380 Income taxes payable 360 Note payable (due 12/31/2019) 1,380 Common stock 1,10 Retained earnings 830 Total liabilities and shareholders' equity $ 4,430 $ 360 990 760 35 2,600 (760) $ 3,985 $ 520 560 310 950 960 685 $ 3,985 Required: Prepare Tiger's statement of cash flows, using the indirect method to present cash flows from operating activities. (Hint: You will have to calculate dividend payments). (Enter your answers in thousands. Amounts to be deducted should be Indicated with a minus sign.) TIGER ENTERPRISES Statement of Cash Flows For the Year Ended December 31, 2018 ($ in thousands)

Answer 1

3180 400 160 -95 -50 Solution: Tiger Enterprises Cash Flow Statement For the Year Ended 31,2018 $ in Thousands Cash flow from Operating Activties Net Income Add: Adjustments to reconcile net income to net cash from operating activities Depreciation expenses (Increase)/decrease in Current Assets Decrease in Account Receivables Increase in Prepaid Insurance Increase in Inventory Increase/(decrease) in Current Liabilities Decrease in Accounts Payable Increase in Income tax Payable Decrease in admin & other expenses Payable Cash flow from Operating Activties Cash Flow From Investing Activities Purchase of Palnt and Equipment ( 3200-2600) Cash used in investing Activities Cash Flow from Financing Activities Issue of Common Stock Dividend Paid Proceeds from notes payable Cash Flow Used in Financing Activities Increase/(Decrease) in cash Cash Balance on January 1 Cash Balance on December 31 -140 50 -180 3325) -600 -600 140 -3035 430 -2465 260 360 620 Working Note Dividend Paid Beginning balance of Retained earnings Add: Net Income Less: Closing Balance in Retained Earnings Dividend Paid $ 685 $ 3,180 $ 830 $ 3,035 Please Give me Positive Vote, Let me know if you need any further Information regarding Question.