This paper circulates around the core theme of P13-7A Presented below and on the next page are the financial statements of Rajesh Company… together with its essential aspects. It has been reviewed and purchased by the majority of students thus, this paper is rated 4.8 out of 5 points by the students. In addition to this, the price of this paper commences from £ 99. To get this paper written from the scratch, order this assignment now. 100% confidential, 100% plagiarism-free.
P13-7A Presented below and on the next page are the financial statements of Rajesh Company…. 1 answer below » P13-7A Presented below and on the next page are the financial statements of Rajesh Company. Rajesh Company Comparative Balance Sheets December 31 Assets 2014 View complete question » P13-7A Presented below and on the next page are the financial statements of Rajesh Company. Rajesh Company Comparative Balance Sheets December 31 Assets 2014 2013 Cash $ 37,000 $ 20,000 Accounts receivable 33,000 14,000 Inventory 30,000 20,000 Equipment 60,000 78,000 Accumulated depreciation—equipment (29,000) (24,000) Total $131,000 $108,000 Liabilities and Stockholders’ Equity Accounts payable $ 29,000 $ 15,000 Income taxes payable 7,000 8,000 Bonds payable 27,000 33,000 Common stock 18,000 14,000 Retained earnings 50,000 38,000 Total $131,000 $108,000 Rajesh Company Income Statement For the Year Ended December 31, 2014 Sales revenue $242,000 Cost of goods sold 175,000 Gross profit 67,000 Operating expenses 24,000 Income from operations 43,000 Interest expense 3,000 Income before income taxes 40,000 Income tax expense 8,000 Net income $ 32,000 Additional data: 1. Depreciation expense is 13,300. 2. Dividends declared and paid were $20,000. 3. During the year, equipment was sold for $9,700 cash. This equipment cost $18,000 originally and had accumulated depreciation of $8,300 at the time of sale. Instructions (a) Prepare a statement of cash flows using the indirect method. (b) Compute free cash flow. View less » Nov 30 2015 04:51 PM
