Homework Help is Here – Start Your Trial Now!
Business
Accounting
Ayayai Inc., agreeting card company, had the following statements prepared as of December 31, 2020. Cash Accounts receivable Short-term debt investments (available-for-sale) Inventory Prepaid rent Equipment Accumulated depreciation-equipment Copyrights Total assets Accounts payable Income taxes payable Salaries and wages payable Short-term loans payable Long-term loans payable Common stock, $10 par Contributed capital, common stock Retained earnings Total liabilities & stockholders' equity Operating expenses. Operating income Interest expense Gain on sale of equipment Income before tax Income tax expense Net income AYAYAI INC. COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2020 AND 2019 12/31/20 AYAYAI INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2020 Sales revenue $339,375 Cost of goods sold Gross profit Additional information: 1. 2. 3. 4. $11,500 1,900 175,000 164,375 119,400 44,975 9,600 $6,000 61,700 34,900 35,375 7,075 $28,300 39,700 4,900 155,500 $314,100 (35,100) $314.100 46,500 $45,600 4,000 8,000 8,000 59,700 100,000 30,000 58,800 12/31/19 $7,000 51,200 18,000 60,400 4,000 128,900 (25,000) 50,400 $294,900 AYAYAI INC. Statement of Cash Flows $39,800 6,000 4,000 9,900 68,600 100,000 30,000 36,600 $294,900 Dividends in the amount of $6,100 were declared and paid during 2020. Depreciation expense and amortization expense are included in operating expenses. No unrealized gains or losses have occurred on the investments during the year. Equipment that had a cost of $19,800 and was 70% depreciated was sold during 2020. Prepare a statement of cash flows using the direct method. (Show amounts in the investing and financing sections that decrease cash flow with either a sign e.g. -15,000 or in parenthesis e.g. (15,000).)

Ayayai Inc., agreeting card company, had the following statements prepared as of December 31, 2020. Cash Accounts receivable Short-term debt investments (available-for-sale) Inventory Prepaid rent Equipment Accumulated depreciation-equipment Copyrights Total assets Accounts payable Income taxes payable Salaries and wages payable Short-term loans payable Long-term loans payable Common stock, $10 par Contributed capital, common stock Retained earnings Total liabilities & stockholders' equity Operating expenses. Operating income Interest expense Gain on sale of equipment Income before tax Income tax expense Net income AYAYAI INC. COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2020 AND 2019 12/31/20 AYAYAI INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2020 Sales revenue $339,375 Cost of goods sold Gross profit Additional information: 1. 2. 3. 4. $11,500 1,900 175,000 164,375 119,400 44,975 9,600 $6,000 61,700 34,900 35,375 7,075 $28,300 39,700 4,900 155,500 $314,100 (35,100) $314.100 46,500 $45,600 4,000 8,000 8,000 59,700 100,000 30,000 58,800 12/31/19 $7,000 51,200 18,000 60,400 4,000 128,900 (25,000) 50,400 $294,900 AYAYAI INC. Statement of Cash Flows $39,800 6,000 4,000 9,900 68,600 100,000 30,000 36,600 $294,900 Dividends in the amount of $6,100 were declared and paid during 2020. Depreciation expense and amortization expense are included in operating expenses. No unrealized gains or losses have occurred on the investments during the year. Equipment that had a cost of $19,800 and was 70% depreciated was sold during 2020. Prepare a statement of cash flows using the direct method. (Show amounts in the investing and financing sections that decrease cash flow with either a sign e.g. -15,000 or in parenthesis e.g. (15,000).)

Auditing: A Risk Based-Approach to Conducting a Quality Audit
Auditing: A Risk Based-Approach to Conducting a Quality Audit
10th Edition
ISBN:9781305080577
Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Chapter14: Activities Required In Completing A Quality Audit
Section: Chapter Questions
Problem 65RSCQ
See similar textbooks
icon
Related questions
Topic Video
Question
answer in text form please (without image)
Ayayai Inc, a greeting card company, had the following statements prepared as of December 31, 2020. Cash Accounts receivable Short-term debt investments (available-for-sale) Inventory Prepaid rent Equipment Accumulated depreciation-equipment. Copyrights Total assets Accounts payable Income taxes payable Salaries and wages payable Short-term loans payable Long-term loans payable Common stock, $10 par Contributed capital, common stock Retained earnings Total liabilities & stockholders' equity AYAYAI INC. COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2020 AND 2019 12/31/20 Cost of goods sold Gross profit Operating expenses Operating income Interest expense AYAYAI INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2020 Sales revenue $339,375 175,000 164,375 Gain on sale of equipment Income before tax Income tax expense Net income Additional information: 1. 4. $11,500 1,900 $314,100 119,400 44,975 $6,000 61,700 34,900 39,700 4,900 155,500 (35,100) 9,600 35,375 7,075 $28,300 46.500 $ $45.600 4,000 $314.100 8,000 8,000 59,700 100,000 30,000 58,800 12/31/19 AYAYAI INC. Statement of Cash Flows $7,000 51.200 18,000 60,400 4,000 128,900 (25,000) 50,400 $294,900 $39,800 6,000 4,000 9,900 68,600 Dividends in the amount of $6,100 were declared and paid during 2020. 2. Depreciation expense and amortization expense are included in operating expenses. 3. No unrealized gains or losses have occurred on the investments during the year. Equipment that had a cost of $19,800 and was 70 % depreciated was sold during 2020. 100,000 30,000 36,600 $294,900 Prepare a statement of cash flows using the direct method. (Show amounts in the investing and financing sections that decrease cash flow with either a-sign e.g.-15,000 or in parenthesis e.g. (15,000).)
Transcribed Image Text:Ayayai Inc, a greeting card company, had the following statements prepared as of December 31, 2020. Cash Accounts receivable Short-term debt investments (available-for-sale) Inventory Prepaid rent Equipment Accumulated depreciation-equipment. Copyrights Total assets Accounts payable Income taxes payable Salaries and wages payable Short-term loans payable Long-term loans payable Common stock, $10 par Contributed capital, common stock Retained earnings Total liabilities & stockholders' equity AYAYAI INC. COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2020 AND 2019 12/31/20 Cost of goods sold Gross profit Operating expenses Operating income Interest expense AYAYAI INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2020 Sales revenue $339,375 175,000 164,375 Gain on sale of equipment Income before tax Income tax expense Net income Additional information: 1. 4. $11,500 1,900 $314,100 119,400 44,975 $6,000 61,700 34,900 39,700 4,900 155,500 (35,100) 9,600 35,375 7,075 $28,300 46.500 $ $45.600 4,000 $314.100 8,000 8,000 59,700 100,000 30,000 58,800 12/31/19 AYAYAI INC. Statement of Cash Flows $7,000 51.200 18,000 60,400 4,000 128,900 (25,000) 50,400 $294,900 $39,800 6,000 4,000 9,900 68,600 Dividends in the amount of $6,100 were declared and paid during 2020. 2. Depreciation expense and amortization expense are included in operating expenses. 3. No unrealized gains or losses have occurred on the investments during the year. Equipment that had a cost of $19,800 and was 70 % depreciated was sold during 2020. 100,000 30,000 36,600 $294,900 Prepare a statement of cash flows using the direct method. (Show amounts in the investing and financing sections that decrease cash flow with either a-sign e.g.-15,000 or in parenthesis e.g. (15,000).)
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps with 1 images

SEE SOLUTIONCheck out a sample Q&A here
Blurred answer
Knowledge Booster
Accounting Equation
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
Auditing: A Risk Based-Approach to Conducting a Q…
Auditing: A Risk Based-Approach to Conducting a Q…
Accounting
ISBN:
9781305080577
Author:
Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg
Publisher:
South-Western College Pub
Principles of Accounting Volume 1
Principles of Accounting Volume 1
Accounting
ISBN:
9781947172685
Author:
OpenStax
Publisher:
OpenStax College
Intermediate Accounting: Reporting And Analysis
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:
9781337788281
Author:
James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:
Cengage Learning
SEE MORE TEXTBOOKS