EXERCISES Week 5 Matakuliah : V0232 – Akuntansi Keuangan Hotel Tahun : 2009 EXERCISES Week 5

EXERCISES 6.7 Each of the following items must be considered in preparing a statement of cash flows for Janeway Travel for the year ended December 31, 2008. For each items, state how its should be shown in the statement of cash flow for 2008. (a) Issued bond for $300,000 cash (b) Purchased equipment for $140,000 cash 6.8 The comparative balance sheet for Mogilny Tours show the following change in non cash current assets account: Accounts receivable the decrease $75,000; Prepaid expense increase $16,000; and invetorie increase $30,000. Compute net cash provided buy operating activities using indirect method, assuming that net income is $250,000.

6.9 Classify the following item as and operating, an investing, or a financing activity. Assume all item involve cash un less there is information to the contrary. (a) Purchase of equipment (b) Sale of building 6.10 Antonie Winery Had the following transaction during 2008: 1. Issued $50,000 par value common stock for cash. 2. Collected $11,000 of account receivable 3. Declare and paid a cash dividend of $25,000 4. Sold a long-item investment with a cost of $15,000 for $15,000 cash. 5. Issued $200,000 par value common stock upon conversion of bonds having a face value of $200,000 6. Paid $14,000 on account payable 7. Purchase a machine for $30,000, giving a long term note in exchange. Instruction Analyze the seven transaction, and indicated whether each transaction resulted in a cash flow from (a) Operating activities, (b) Investing activities

6. 11. Duggans Sport bar reporter net income of $195,000 for the 2008 6.11 Duggans Sport bar reporter net income of $195,000 for the 2008. Duggans also reported depreciation expense of $25,000 snd loss of $5,000 on the sale of equipment. The comparative balance sheets show an increasein accounts receivable of $15,000 for the year, an $8,000 increase in accounts payable, and a decrease in prepaid of $7,000. Instruction: Prepare the operating activities section of the statements of cash flows for 2008 using the indirect method. 6.12 The current section of Blues Traveler Co. balance sheet at December 31, 2007 and 2008 are presented below:

Comparative Balance Sheet (partial) 6.12 The current section of Blues Traveler Co. balance sheet at December 31, 2007 and 2008 are presented below: BLUES TRAVELER Co. Comparative Balance Sheet (partial) December 31 Current Assets Cash Accounts receivable Inventory Prepaid expense Total current assets Current Liabilities Accurued expense payable Account Payable Total current liabilities 2008 $105,000 110,000 171,000 27,000 $413,000 $ 15,000 88,000 $103,000 2007 $ 99,000 85,000 186,000 32,000 $402,000 $ 5,000 92,000 $ 97,000

Blues Traveler’s net income for 2008 was $163,000 Blues Traveler’s net income for 2008 was $163,000. Depreciation expense was $30,000. Instruction: Prepare the operating activities section of Blues Traveler’s statementof cash flows for the year ended December 31, Using the indirect method.