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Question: the company follows aspe pharoah ltd had the following comparative...

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The company follows ASPE. Pharoah Ltd. had the following comparative statement of financial position:

Pharoah Ltd.
Comparative Statement of Financial Position
As at December 31
Assets 2018 2017
Cash $ 88,560 $ 54,000
Accounts receivable 146,880 110,160
Inventories 86,400 129,600
Prepaid insurance 10,800 8,640
Equipment 332,640 295,920
Accumulated depreciation—equipment (75,600 ) (54,000 )
Total assets $ 589,680 $ 544,320
Liabilities and Shareholders’ Equity
Accounts payable $ 92,880 $ 77,760
Salaries & Wages payable 12,960 8,640
Income taxes payable 17,280 19,440
Mortgage payable 118,800 133,920
Common shares 237,600 226,800
Retained earnings 110,160 77,760
Total liabilities and shareholders’ equity $ 589,680 $ 544,320


Additional information:

Net income was $58,968.
New equipment was purchased and none was sold.
Common shares were issued for cash.
Cash dividends were paid to common shareholders.


Prepare the statement of cash flows using the indirect format. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

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