Posted: July 31st, 2016

What amount will Jensen report in its 2010 Statement of Cash flows as cash collected from Customers?

When a supplier makes a downward adjustment in the amount owed by a creditor, the creditor will:
a) reduce the amount of the account payable to the supplier, and decrease an asset such as inventory.
b) increase the amount of the account payable to the supplier, and decrease an asset such as inventory.
c) reduce the amount of the account payable to the supplier, and increase cash.
d) reduce the account of the account payable to the supplier, and decrease cash.

Q1. What amount will Jensen report in its 2010 Statement of Cash flows as cash collected from Customers?

Q2. Determine the following amounts:
a. Purchase account
b. Cash paid to vendors of inventory

Q3. What amount will Jensen report as cash paid for income taxes?

Q4. What amount will Jensen reportas cash paid for Se, G&A expenses?

Q5. What amount of cash inflow (outflow) should be reported for depreciation under the direct method?

Q6. Chaka CO’s worksheet for the preperation of its SOCF indluded teh following (see attachemnt).