Preparing statement of cash flows LO P1, P2, P3

MONTGOMERY INC.
Comparative Balance Sheets
December 31, 2018 and 2017
2018 2017
Assets
Cash $ 31,000 $ 31,200
Accounts receivable, net 10,300 12,600
Inventory 92,400 72,800
Total current assets 133,700 116,600
Equipment 51,200 43,100
Accum. depreciation—Equipment (23,100) (16,000)
Total assets $ 161,800 $ 143,700
Liabilities and Equity
Accounts payable $ 24,600 $ 26,600
Salaries payable 500 600
Total current liabilities 25,100 27,200
Equity
Common stock, no par value 112,800 103,400
Retained earnings 23,900 13,100
Total liabilities and equity $ 161,800 $ 143,700

MONTGOMERY INC.
Income Statement
For Year Ended December 31, 2018
Sales $ 45,900
Cost of goods sold (19,100)
Gross profit 26,800
Operating expenses
Depreciation expense $ 7,100
Other expenses 5,500
Total operating expense 12,600
Income before taxes 14,200
Income tax expense 3,400
Net income $ 10,800

Additional Information

No dividends are declared or paid in 2018.
Issued additional stock for $9,400 cash in 2018.
Purchased equipment for cash in 2018; no equipment was sold in 2018.

Use the above financial statements and additional information to prepare a statement of cash flows for the year ended December 31, 2018, using the indirect method.

Pettijohn inc. the balance sheet and income statement shown below are for pettijohn inc. note that the firm has no amortization charges, it does not lease any assets, none of its debt must be retired during the next 5 years, and the notes payable will be rolled over. balance sheet (millions of $) assets 2016 cash and securities $ 1,554.0 accounts receivable 9,660.0 inventories 13,440.0 total current assets $24,654.0 net plant and equipment 17,346.0 total assets $42,000.0 liabilities and equity accounts payable $ 7,980.0 notes payable 5,880.0 accruals 4,620.0 total current liabilities $18,480.0 long-term bonds 10,920.0 total debt $29,400.0 common stock 3,360.0 retained earnings 9,240.0 total common equity $12,600.0 total liabilities and equity $42,000.0 income statement (millions of $) 2016 net sales $58,800.0 operating costs except depr'n $54,978.0 depreciation $ 1,029.0 earnings bef int and taxes (ebit) $ 2,793.0 less interest 1,050.0 earnings before taxes (ebt) $ 1,743.0 taxes $ 610.1 net income $ 1,133.0 other data: shares outstanding (millions) 175.00 common dividends $ 509.83 int rate on notes payable 1. what is the firm's current ratio? (points : 6) 0.97 1.08 1.20 1.33 2. what is the firm's quick ratio? (points : 6) 0.49 0.61 0.73 0.87 3. what is the firm's total assets turnover? (points : 6) 0.90 1.12 1.40 1.68 4. what is the firm's inventory turnover ratio? (points : 6) 4.38 4.59 4.82 5.06 5. what is the firm's debt ratio? (points : 6) 45.93% 51.03% 56.70% 70.00% 6. what is the firm's roa? (points : 6) 2.70% 2.97% 3.26% 3.59% 7. what is the firm's roe? (points : 6) 8.54% 8.99% 9.44% 9.91%

What is the relationship between marginal external cost, marginal social cost, and marginal private cost? a. marginal social cost equals marginal private cost plus marginal external cost. b. marginal private cost plus marginal social cost equals marginal external cost. c. marginal social cost plus marginal external cost equals marginal private cost. d. marginal external cost equals marginal private cost minus marginal social cost. marginal external cost a. is expressed in dollars, so it is not an opportunity cost b. is an opportunity cost borne by someone other than the producer c. is equal to two times the marginal private cost d. is a convenient economics concept that is not real

Factors like the unemployment rate,the stock market,global trade,economic policy,and the economic situation of other countries have no influence on the financial status of individuals. true or false