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12 Cards in this Set
- Front
- Back
- 3rd side (hint)
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Operating Activities
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Cash Inflows
sales of goods or services collection of accounts receivable collection of interest on loans receipts of dividends on investments on equity securities |
Cash Outflows
suppliers for inventory employees government for taxes lenders for interest other suppliers for various expenses |
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Investing Activities
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Cash inflows
sale of property, plant and equipment sales of investments in other companies principal repayments of loans by borrowers |
Cash outflows
acquiring property, plant and equipment purchasing investments in other companies making loans to borrowers |
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Financing Activities
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Cash inflows
issuing equity securities issuing bonds issuing mortgages issuing notes other short or long term borrowings |
Cash outflows
dividends repurchases of company's equity securities repayment of amounts borrowed |
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Inflows of Cash
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Decreases in assets other than cash
Increases in liabilities Increase in Stockholders' Equity |
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Outflows of Cash
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Increase in assets other than cash
Decrease in liabilities Decrease in Stockholders' Equity |
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Operating Cash Flows
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Inflows of Cash
Increase in Stockholders' equity because of revenues adjusted for changes in current assets and liabilities and in certain non current assets and liabilities |
Outflows of Cash
Decrease in Stockholders' equity because of expenses adjusted for changes in current assets and current liabilities as well as certain noncurrent assets and liabilities related to the operating cycle |
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Investing Cash Flows
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Inflows of Cash
Decrease in noncurrent assets and certain current assets (notes receivable and temp investments related to investing activities) |
Outflows of Cash
Increases in noncurrent assets and certain current assets (notes receivable and temporary investments) |
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Financing Cash Flows
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Inflows of Cash
Increase in noncurrent liabilities, stockholders' equity (other than net income) and certain current liabilities (notes payable related to financing activities) |
Outflows of Cash
Decreases in noncurrent liabilities, stockholders's equity ( other than a net loss) and certain current liabilities (notes payable and dividends payable) |
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Noncash Simultaneous Investing/Financing Transactions
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acquistion of assets by issuing equity securities
acquisition of assets by assuming liabilities such as capital lease obligations exchange of debt securities for equity securities |
exchange of assets for assets
exchange of liabilities for liabilities exchange of equity securities such as conversion of preferred stock to common stock |
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Plus - Decrease in Current Assets
Decrease in accounts receivable Decrease in interest receivable Decrease in inventory Decrease in prepaid expenses Decrease in other current assets |
Plus - Increase in Current Liabilities
Increase in accounts payable Increase in salaries payable Increase in interest payable Increase in taxes payable Increase in deferred revenues Increase in other current liabilities |
Other Plus Adjustments
actual Depreciation, depletion, amortization expense (not change) actual Loss (net) on disposal of assets or liabilities actual Loss under the equity method actual Amortization of discount on notes payable Increase in deferred tax liability Decrease in deferred tax asset Increase in accrued pension Decrease in prepaid pension cost |
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Minus - Increases in Current Assets
Increase in accounts receivable Increase in interest receivable Increase in inventory Increase in prepaid expenses Increase in other current assets |
Minus - Decrease in Current Liabilities
Decrease in accounts payable Decrease in salaries payable Decrease in interest payable Decrease in income taxes payable Decrease in deferred revenues Decrease in other current liabilties |
Minus - Other Adjustments
actual Gain (net) on disposal of assets or laibilities actual Income under equity method actual Amortization of premium on bonds actual Amortization of discount on investment in bonds Decrease in tax deferred liability Increase in deferred tax asset Decrease in accrued pension cost Increase in prepaid pension cost |
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Worksheet notes
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add Net income as a credit to retained earnings
deduct dividends from retained earnings |
Add Stock dividends to Capital Stock
add paid in capital to conversion premium When converting preferred stock to common deduct preferred at par and the premium for conversion, |
