Which financial statement shows Interest expense? A) income ...

[bcretired]

Which financial statement shows Interest expense?
 
  A) income statement
  B) statement of changes in shareholders' equity
  C) statement of cash flows
  D) balance sheet

Question 2

Use the following information from Artizan, Inc. to prepare the statement of cash flows for May using the indirect method.
 
  Beginning cash balance: 21,470
  Ending cash balance: 63,735
  Net change in accounts receivable 1,800
  Net change in inventory (2,675 )
  Net change in accounts payable (890 )
  Depreciation expense 8,000
  Net income 23,450
  Cash paid for dividends 625
  Cash received from a loan 9,000
  Purchase of treasury of stock 3,780
  Cash received from sale of studio equipment 6,235

[ryrychapman11]

Answer to Question 1

A

Answer to Question 2

Artizan, Inc.
Statement of Cash Flows
For the Month Ended May 31, 2011
Cash flows from operating activities:
Net income 23,450
Depreciation expense 8,000
Net increase in accounts receivable (1,800 )
Net decrease in inventory 2,675
Net decrease in accounts payable (890 )
Net cash from operating activities 31,435
Cash flows from investing activities:
Cash received from sale of studio equipment 6,235
Net cash from investing activities 6,235
Cash flows from financing activities:
Cash received from loan 9,000
Cash paid for dividends (625 )
Cash paid for treasury stock (3,780 )
Net cash from financing activities 4,595
Net increase in cash 42,265
Beginning cash balance 21,470
Ending cash balance 63,735

[bcretired]

Thank you

[ryrychapman11]

Happy to help you