018 20 231994 2012026 6Ih 931550 37420161120 5351631 5323bO

018 20 231994 20,12,026 6Ih 931550 3/7,420?161120 ? 5351631 |532,3bO 3,311 ,620 2,320 160 Sood will nd 30b, 000 9060 631300 132,8001131, IDO v (21,2m) |(?260)4 (8000) TrucL an DTrud 3D(2,000) 4,000 15,000 1,000 15,000 ??15,000 2320110 231261 V etest Rayable ndeuds able 0 4A1606 922,606 V 5,000 263,000 263,000 O 18,000 3,000 O 2561100 25614? eThe Tnarase Tn\' ipadt was lue do cash purchuseat ot haw ej

Solution

Cash Flow from operating Activities:-

Net Income/Loss (326318 - 288922)

-37396

Adjustments:-

Loss on sale of Truck (18000-8000)

10000

Depreciation (5000 + 8000 + 2000)

15000

Goodwill Amortise

6000

Increase Account receivable

-76130

Increase Inventory

-3311

Increase Supplies

-1360

Increase Allowance for Doubtful Debt

1598

Increase A/c Payable

30750

Decrease Payroll Tax payable

-2398

Decrease Income Tax payable

-1000

Increase Bank line of credit

15000

Increase Int Payable

23261

Cash Flow from operating Activities (A)

-19986

-19986

Cash Flow from Investing Activities:-

Purchase Equipment

-31100

Sale Truck

8000

Cash Flow from Investing Activities (B)

-23100

-23100

Cash Flow from Financing Activities:-

Decrease Notes Payable

-5000

Cash Flow from Financing Activities (C)

-5000

-5000

Total cash Flow (A+B+C)

-48086

(+) Beginning cash balance

280080

Ending cash balance

231994

Information regarding Dividend paid is not given. Hence we assume that no dividend paid during the year

Cash Flow from operating Activities:-
Net Income/Loss (326318 - 288922)	-37396
Adjustments:-
Loss on sale of Truck (18000-8000)	10000
Depreciation (5000 + 8000 + 2000)	15000
Goodwill Amortise	6000
Increase Account receivable	-76130
Increase Inventory	-3311
Increase Supplies	-1360
Increase Allowance for Doubtful Debt	1598
Increase A/c Payable	30750
Decrease Payroll Tax payable	-2398
Decrease Income Tax payable	-1000
Increase Bank line of credit	15000
Increase Int Payable	23261
Cash Flow from operating Activities (A)	-19986	-19986
Cash Flow from Investing Activities:-
Purchase Equipment	-31100
Sale Truck	8000
Cash Flow from Investing Activities (B)	-23100	-23100
Cash Flow from Financing Activities:-
Decrease Notes Payable	-5000
Cash Flow from Financing Activities (C)	-5000	-5000
Total cash Flow (A+B+C)		-48086
(+) Beginning cash balance		280080
Ending cash balance		231994