P11-46. Required a. Compute the change in cash that occurred during 2019. b. Prepare a 2019 statement of cash flows using the indirect method. Statement of Cash Flows (Indirect Method) Dair Company's income statement and comparative balance sheets follow. Joel Tuoriniemi Sales. Cost of goods sold Wages and other operating expenses DAIR COMPANY Income Statement For Year Ended December 31, 2019 Depreciation expense.. Amortization expense Interest expense.. Income tax expense. Loss on bond retirement. Net Income Assets Cash.. Accounts receivable zien Inventory. Prepaid expenses. Accumulated depreciation DAIR COMPANY Balance Sheet Total assets Liabilities and Stockholders' Equity Accounts payable Interest payable Income tax payable Bonds payable.. Common stock. Retained earnings Totallables and equity. $440,000 95,000 22,000 7,000 10,000 36,000 5.000 Dec. 31, 2019 $ 27,000 53,000 103,000 12,000 350,000 (87,000) 43,000 $511,000 $ 30,000 4,000 6,000 60,000 252,000 157,000 $511,000 Required a. Compute the change in cash that occurred in 2019. b. Prepare a 2019 statement of cash flows using the indirect method. $700,000 615,000 $ 85,000 Dec. 31, 2018 $ 18,000 48,000 109,000 10,000 336,000 (84,000) 50,000 $487,000 $ 26,000 7,000 8,000 120,000 228,000 98,000 $487,000 Joel Tu During 2019, the company sold for $17,000 cash old equipment that had cost $36,000 and had $19,000 accumulated depreciation. Also in 2019, new equipment worth $60,000 was acquired in exchange for $60,000 of bonds payable, and bonds payable of $120,000 were retired for cash at a loss. A $26,000 cash dividend was declared and paid in 2019. Any stock issuances were for cash. LO2, 3, 4 iniemi 4. Prepare separate schedules showing (1) cash paid for interest and for income taxes and (2) noncash investing and financing transactions M Joel Tuori ziemi MBC/nP11-49. Interpreting the Statement of Cash Flows Following is the statement of cash flows for Stryker Corp. Operating activities Net earnings (loss).... Adjustments to reconcile net earnings to net cash provided by operating activities: Depreciation... STRYKER CORPORATION Consolidated Statements of Cash Flows For Year Ended December 31, 2018 ($ millions) Amortization of intangible assets Share-based compensation.. Recall charges, net of insurance e proceeds Sale of inventory stepped up to fair value at acquisition Deferred income tax benefit (expense) Changes in operating assets and liabities Accounts receivable. Inventories Accounts payable Accrued expenses and other labilises Recall-related payments... Income taxes.... Other, not Net cash provided by operating activities. Investing activities Acquisitions, net of cash acquired Tuorinier Purchases of marketable securities. Proceeds from sales of marketable securities Purchases of property, plant and equipment Other investing, net Net cash used in investing activities.. Financing activities Proceeds and payments on short-term borrowings, net. Proceeds from issuance of long-term debt. Payments on long-term debt Dividends paid Repurchase of common stock Cash paid for taxes from withheld shares Payments to purchase noncontrolling interest. Other financing.net. Net cash provided by (used in) financing activities. Effect of exchange rate changes on cash and cash equivalents Change in cash and cash equivalents. Cash and cash equivalents at beginning of year. Cash and cash equivalents at end of year.. [******** (1993 Tuorinien $3,553 (1,582) (2,451) (2,857) 1,074 $3,616 Required a. Why does the company add back depreciation to compute net cash flows from operating activities? 6. Explain why the change in accounts receivable and inventories are reported as adjustments to net earnings. Did the accounts receivable and inventories balances increase or decrease during the year? e. Stryker reports that it invested $572 million in property, plant and equipment. Is this an appropriate type of expenditure for the company to make? What relation should expenditures for PPE have with depreciation expense? Stryker paid $300 million to repurchase its common stock in fiscal 2018 and, in addition, paid dividends of $703 million. Thus, it paid $1,003 million of cash to its stockholders during the year. How do we evaluate that use of cash relative to other possible uses for the company's cash? Joel Tuorin e. Provide an overall assessment of the company's cash flows for fiscal 2018. In the analysis, com- sider the sources and uses of cash. el Ti LO1, 2, 3, 4, 5 Stryker Corp. (SVK) mi/n

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P11-46. Required a. Compute the change in cash that occurred during 2019. b. Prepare a 2019 statement of cash flows using the indirect method. Statement of Cash Flows (Indirect Method) Dair Company's income statement and comparative balance sheets follow. Joel Tuoriniemi Sales. Cost of goods sold Wages and other operat

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Chocolate Delights is a growing 'Dessert Shop' operating in New Zealand. They specialise in producing chocolate desserts for the local communities in Palmerston North. Paul Henderson, the owner, has operated the shop from his personal name as a sole trader for many years. In the past, Paul had inherited patented recipes for desserts. This patent stops anyone from producing the exact same dessert, which increases the amount of goodwill for the business. He was halfway through the 2022 financial year and was nearing the GST turnover threshold. Before he registered for GST, his accountant suggested creating a new company that would shift his GST and other liability obligations from his personal debt to a company debt. On the 1. September 2021, based on the accountants advice, Paul decided to create a company called Chocolate Delights Ltd. The company is currently registered for six (6) monthly GST filing on a Payments Basis, and files financial statements on the 31 March. 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Paul managed to sub-lease a big restaurant and moved there temporary to build up operations. Paul plans to use a similar business model, and this business will have access to the same patented recipes. I The Issue Despite all this growth, on 20 June 2022, Paul requires additional funding to maintain operations for his new shop. However, the local banks in the Greater Wellington Region have requested to see last year's Special Purpose Financial Reports with an inclusion of a Statement of Cash Flows. Your job will be to prepare these financial statements for Chocolate Delights Ltd as of 31 Marc Footer (Default Page Style) +/nInstructions This will cover the compilation of Special Purpose Financial Reports using Xero and Excel. Paul has provided you with a Trial Balance from a specialised POS/Accounting system as at 31 March. You are required to import this Trial Balance into Xero and prepare balance day adjustments to generate the Special Purpose Financial Reports. I Adjustments required: More information will be available in the following chapter. Here is the summary of adjustments you will need to make: Received Aged Accounts Receivable and Payables Reports as at 31 March to record into Xero. No Debtors and Creditors values are recorded in the Trial Balance. The Annual Loan Summary for the Motor Vehicle Finance is provided to prepare your Loan Adjustments. Received details regarding Payroll and GST to help you record any adjustments into Xero. The stocktake for ingredients at year-end was $5,650.00. Chocolate Delights is running a periodic inventory system. A closing inventory journal is required. Received details on a couple of accruals and deferrals and extra information of any bad and doubtful debts. You have obtained the list of assets currently being used or disposed of in the business. Use this information and Xero's inbuild asset register to prepare the adjustments for non-current assets. • During May 2022, Paul received the opportunity to refit all the kitchen appliances for $10,000, worth $25,000.00 due to a competition he won! Conduct an impairment review of the older kitchen appliances. After providing warm and cold refreshments to customers, Paul had a disagreement with a local barista across the road. They are currently suing for damages for the loss of goodwill of $50,000. The lawyer stated that there is a 50% chance of Paul losing this case in light of current information. A provision is required for 50% of the damages. Using your taxation understanding, prepare the tax calculation and record/n1 Related Parties Apart from the Current Account, Paul indicated a few related party transactions he would like to be fully disclosed in the notes for the financial statements: (Note: these have already been accounted for in the trial balance) 1. Paul reimbursed the company the cost price totalling $500.00 excluding GST for treats used personally 2. Paul has exclusive deals from a local store, and they weren't very impressed with the new company formation. So instead, he was reimbursed by the company for purchases of $20,000.00 excluding GST of supplies under his personal name.