Chapter 10
The Statement of Cash Flow
488
Based on the information provided, help Allen fill the missing information in the table below.
Which section of the Cash Flow Statement is affected?
How much PPE was sold in 2016?
What was the accumulated depreciation for the PPE sold?
What was the book value of the PPE sold?
How much cash was received from the sale?
How much cash was paid out for the purchase?
What was the net change in cash resulting from PPE?
AP-11A (
2
)
Balance sheet accounts for Planet Inc. contain the following amounts at the end of 2015 and 2016.
Planet Inc.
Balance Sheet
As at December 31
2016
2015
Assets
Current Assets
Cash
$7,500
$5,000
Accounts Receivable
21,000
15,000
Prepaid Expenses
2,500
2,000
Inventory
37,000
28,000
Total Current Assets
68,000
50,000
Long-Term Assets
Equipment
196,000
175,000
Less: Accumulated Depreciation
(41,000)
(32,000)
Total Long-Term Assets
155,000
143,000
Total Assets
$223,000
$193,000
Liabilities
Current Liabilities
$33,000
$33,000
Non-Current Liabilities
30,000
35,000
Total Liabilities
63,000
68,000
Shareholders' Equity
Common Shares
75,000
60,000
Retained Earnings
85,000
65,000
Total Shareholders' Equity
160,000
125,000
Total Liabilities and Equity
$223,000
$193,000
