The following information applies to the questions displayed

The following information applies to the questions displayed below reported the following information for the fiscal year ended August 31, 2015 Accounts Payable Accounts Receivable Cash (balance on September 1, 2014) Cash (balance on August 31, 2015) Common Stock $ 157000 27000 87000 96,000 Equipment Notes Payable Office Expenses Prepaid Rent 767,000 42,000 155,000 67000 422,000 Salaries and Wages Expense Salaries and Wages Payable Sales Revenue Supplies Utilities Expense 182,000 1,868,000 44,000 590,000 Other cash flow information: I investments by stockholders s 41,000 Cash paid to purchase equipment Cash paid to suppliers and employees 167000 1,721000 0,000 of borrowings Cash r Cash received from borrowings Dividends paid in cash

Solution

1-a. Cash balance increased by $ 9,000 1-b. Statement of Cash flow Workings: CHEESE FACTORY INCORPORATED Statement of cash flows For the year ended August 31, 2015 Cash flow from Operating activities: Cash received from Customer $   17,21,000 Cash paid to suppliers and Employees $ -15,30,000 Cash provided by Operating activities a $     1,91,000 Csh flow from Investing Activities: Cash paid to purchase equipment $       -56,000 Cash used in Investing Activities b $       -56,000 Cash flow from Financing Activities: Diviend Paid to Stockholders $       -10,000 Additional Investment by Stockholders $         41,000 Repayment of Borrowings $   -1,67,000 Cash received from borrowings $         10,000 Cash used in Financing activities c $   -1,26,000 Increase in Cash a+b+c $           9,000 Cash at September 1, 2014 $         87,000 Cash at August 31, 2015 $         96,000