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HW 12 – 1
CASH FLOW CATEGORIES

Maya Corporation reports the following items in its statement of cash flows prepared using the direct method. Indicate whether each item is disclosed in the operating, investing, or financing activities section of the statement.

Operating
Investing
Financing
Cash paid for salaries and wages
X

Cash paid to purchase property, plant, and equipment

X

Cash received from issuing stock to owners

X
Cash paid for income taxes
X

Cash paid to purchase investments in securities

X

Dividends paid to owners

X
Interest paid on liabilities
X

Cash received from sale of property, plant, and equipment

X

Cash used for repaying principal to lenders

X
Cash used to repurchase stock from owners

X
Cash provided by dividends and interest on investments
X

Cash received from customers
X

Cash from sale or maturity of investments in securities

X

Cash provided by borrowing from a bank

X

HANDOUT 12 – 2
STATEMENT OF CASH FLOWS (INDIRECT METHOD)
The Group, Inc.
Consolidated Balance Sheets
(in thousands)
Section

3/31/10
12/31/09
Change

ASSETS

Current Assets:

Cash and Cash Equivalents
$92,069
$72,634
+ 19,435
O
Accounts Receivables, Net
55,947
75,492
- 19,545
O
Inventories
50.784
53,129
- 2,345
O
Prepaid Expenses
12,112
13,057
- 945

Total Current Assets
210,912
214,312

I
Equipment
145,444
134,312
+ 11,132
O
Less: Accumulated Depreciation
(50,515)
(36,689)
- 13,826

Total Assets
$305,841
$311,935

LIABILITIES AND STOCKHOLDERS’ EQUITY

Current Liabilities:

O Accounts Payable
$25,466
$34,879
- 9,413
O
Accrued Liabilities
40,574
40,722
- 148

Total Current Liabilities
66,040
75,601

F
Long-Term Debt
10,422
10,206
216

Stockholders’ Equity:

F Contributed Capital
1,662
1,284
+ 378
O,F
Retained Earnings
227,717
224,844
+