MULTIPLE CHOICE. PLEASE ANSWER ASAP. THANK YOU!
17. Sales for the year were $588,096. Accounts receivable were$98,761 and $77,731 at the beginning and end of the year,respectively. Cash received from customers to be reported on thestatement of cash flows using the direct method is
a.$630,156
b.$609,126
c.$686,857
d.$588,096
23. A building with a book value of $46,754 is sold for $59,053cash. Using the indirect method, this transaction should be shownon the statement of cash flows as an increase of
a.$59,053 from investing activities
b.$59,053 from investing activities and a deduction from netincome of $12,299
c.$46,754 from investing activities and an addition to netincome of $12,299
d.$46,754 from investing activities
26. Balance sheet and income statement data indicate thefollowing:
| Bonds payable, 10% (due in two years) | $911,000 |
| Preferred 5% stock, $100 par (no change during year) | 300,000 |
| Common stock, $50 par (no change during year) | 2,003,000 |
| Income before income tax for year | 322,000 |
| Income tax for year | 77,000 |
| Common dividends paid | 100,150 |
| Preferred dividends paid | 15,000 |
Based on the data presented, what is the times interest earnedratio (rounded to one decimal place)?
a.3.5
b.4.5
c.6.1
d.2.5
27. Land costing $136,603 was sold for $171,572 cash. The gainon the sale was reported on the income statement as other income.On the statement of cash flows, what amount should be reported asan investing activity from the sale of land?
a.$34,969
b.$308,175
c.$171,572
d.$136,603
29. Use this information for Kellman Company to answer thequestion that follow.
The balance sheets at the end of each of the first two years ofoperations indicate the following:
| Kellman Company |
| Year 2 | Year 1 |
| Total current assets | $611,300 | $576,400 |
| Total investments | 69,400 | 41,800 |
| Total property, plant, and equipment | 912,700 | 761,200 |
| Total current liabilities | 111,900 | 80,400 |
| Total long-term liabilities | 295,300 | 244,200 |
| Preferred 9% stock, $100 par | 88,600 | 88,600 |
| Common stock, $10 par | 547,200 | 547,200 |
| Paid-in capital in excess of par—Common stock | 65,500 | 65,500 |
| Retained earnings | 484,900 | 353,500 |
Using the balance sheets for Kellman Company, if net income is$104,500 and interest expense is $36,100 for Year 2, what is thereturn on total assets for the year (rounded to two decimalplaces)?
a.6.56%
b.4.60%
c.7.58%
d.9.46%
