Presented below is the 2018 income statement and comparative balance sheet information for Tiger Enterprises....

50.1K

Verified Solution

Question

Accounting

Presented below is the 2018 income statement and comparative balance sheet information for Tiger Enterprises.

TIGER ENTERPRISES
Income Statement
For the Year Ended December 31, 2018
($ in thousands)
Sales revenue $ 14,500
Operating expenses:
Cost of goods sold $ 4,900
Depreciation 390
Insurance 850
Administrative and other 3,300
Total operating expenses 9,440
Income before income taxes 5,060
Income tax expense 2,024
Net income $ 3,036
Balance Sheet Information ($ in thousands) Dec. 31,2018 Dec. 31, 2017
Assets:
Cash $ 600 $ 350
Accounts receivable 825 980
Inventory 795 750
Prepaid insurance 120 30
Plant and equipment 3,100 2,550
Less: Accumulated depreciation (1,140 ) (750 )
Total assets $ 4,300 $ 3,910
Liabilities and Shareholders' Equity:
Accounts payable $ 375 $ 510
Payables for administrative and other expenses 375 550
Income taxes payable 355 300
Note payable (due 12/31/2019) 1,320 900
Common stock 1,080 950
Retained earnings 795 700
Total liabilities and shareholders' equity $ 4,300 $ 3,910

Required: Prepare Tigers statement of cash flows, using the indirect method to present cash flows from operating activities. (Hint: You will have to calculate dividend payments). (Enter your answers in thousands. Amounts to be deducted should be indicated with a minus sign.)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students