IKIBAN INC.
Statement of cash flow using indirect method for the year ending June 30, 2019
Particulars Amount
$
Cash flow from operating activities
Net Income 145,510
Adjustments to reconcile net income to net cash provided by operating activities
Adjustment for non cash effects
Depreciation 81,600
Gain on sale of equipment -4,300
Change in operating assets & liabilities
Increase in accounts receivable -25,500
Decrease in inventory 34,200
Decrease in prepaid expenses 3,300
Decrease in accounts payable -16,500
Decrease in wages payable -11,300
Decrease in income taxes payable -2,700
Net cash flow from operating activities (A) 204,310
Cash Flow from Investing activities
New equipment purchased -80,600
Equipment sold 12,300
Net cash flow from Investing activities (B) -68,300
Cash Flow from Financing activities
Cash dividends paid -162,310
Common stock issued 83,000
Notes payable paid -30,000
Net cash flow from Financing activities (C) -109,310
Net Change in cash = A+B+C $26,700
Beginning cash balance $67,000
Closing cash balance $93,700
Answer:
Warby Parker is a company specializing in eyewear that produces designer glasses at affordable prices. The company's management believes in the importance of grounding its operations in Corporate Social Responsibility.
Explanation:
Warby Parker is an eyewear manufacturer creating designer glasses that remain budget-friendly. The management asserts that its operations should be based on principles of Corporate Social Responsibility.
Which of these statements is accurate?
b.
net cash flow plus cash outflow equals cash inflow
Total Cash Inflow essentially encapsulates Cash Receipts, Cash inflow from Asset Sales, and similar sources. Cash Outflow pertains to paid Expenses, purchased Assets, and so forth. Net Cash flow simply refers to the difference between Cash Inflow and Cash Outflow; it can be negative if outflow exceeds inflow or positive if the opposite is true.
Based on the above details, B appears to be the right choice.
