PLEASE PLEASE ANSWER AS SOON AS POSSIBLE 1 Use the informati

PLEASE PLEASE ANSWER AS SOON AS POSSIBLE.

1. Use the information below for Harding Company to answer the question that follow.

Based on the data for Harding Company, what is the amount of working capital?

a.$969,994

b.$202,328

c.$619,832

d.$144,893

4. The net income reported on the income statement for the current year was $299,087. Depreciation recorded on fixed assets and amortization of patents for the year were $40,017 and $8,817, respectively. Balances of current asset and current liability accounts at the end and at the beginning of the year are as follows:

What is the amount of cash flows from operating activities reported on the statement of cash flows prepared by the indirect method?

a.$284,286

b.$308,979

c.$296,764

d.$370,012

5. The current period statement of cash flows includes the following:

The cash balance at the end of the period is

a.$449,146

b.$266,613

c.$727,678

d.$501,342

6. Based on the following data, what is the accounts receivable turnover?

a.2.3

b.11

c.10.1

d. 4

8. A company with working capital of $375,551 and a current ratio of 3.2 pays a $82,906 short-term liability. The amount of working capital immediately after payment is

a.$551,149

b.$463,350

c.$375,551

d.$87,799

11. Assume the following sales data for a company:

What is the percentage increase in sales from the preceding year to the current year (rounded to one decimal place)?

a.31.4%

b.14.4%

c.77.1%

d.45.8%

12. Cash dividends of $72,881 were declared during the year. Cash dividends payable were $10,358 at the beginning of the year and $15,733 at the end of the year. The amount of cash for the payment of dividends during the year is

a.$67,506

b.$72,881

c.$83,239

d.$98,972

15. Accounts receivable from sales transactions were $49,594 at the beginning of the year and $67,778 at the end of the year. Net income reported on the income statement for the year was $143,428. Exclusive of the effect of other adjustments, the cash flows from operating activities to be reported on the statement of cash flows prepared by the indirect method would be

a.$143,428

b.$18,184

c.$125,244

d.$161,612

Harding Company
Accounts payable	$27,565
Accounts receivable	71,510
Accrued liabilities	6,541
Cash	16,862
Intangible assets	42,141
Inventory	77,866
Long-term investments	103,355
Long-term liabilities	70,445
Marketable securities	33,752
Notes payable (short-term)	23,329
Property, plant, and equipment	622,170
Prepaid expenses	2,338

Solution

(Figure in $) 1 Working Capital = Current Assets - Current Liabilities Current Assets Accounts receivable       71,510 Cash       16,862 Inventory       77,866 Marketable securities       33,752 Prepaid expenses         2,338     2,02,328 Current Liabilites Accounts payable       27,565 Accrued liabilities       33,752 Notes payable (short-term)       23,329       84,646 Working capital     2,02,328 4 CASH FLOW FROM OPERATING ACTIVITIES Net Income     2,99,087 Adjustment For: Depreciation 40,017 Amortisation 8,817 Increase in Accounts Receivable -18,178 Increase in Inventories -20,764 Decrease in Prepaid Expenses 6,231 Decrease in Accounts Payable (merchandise creditors) -18,446 Cash From Operating Activities Before Taxes 2,96,764 Less: Taxes paid during the year              -   NET CASH FROM OPERATING ACTIVITIES 2,96,764 5 Net cash flow from operating activities 1,82,533 Net cash flow used for investing activities -52,196 Net cash flow used for financing activities -87,070 Cash balance at the beginning of the period 4,05,879 cash balance at the end of the period 4,49,146 6 Accounts receivable turnover = Net credit sales / Average accounts receivable Accounts receivable turnover = 481,499 / [(43,966 + 51,797)/2] Accounts receivable turnover = 10.1