3.10
Net Cash rating rect Method
The following data are taken from the income statement and balance sheet of Freeman Machinery, Inc.:
able[[, able[[Dec. 31,],[2015]], able[[Jan. 1,],[2015]]],[Net Income dotsdots. . . .,,],[Depreciation Expense . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .,$385,000,],[Amortization of Intangible Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .,135,000,],[Gain on Sale of Plant Assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .,40,000,],[Loss on Sale of Investments ...,90,000,],[Balance sheet:,35,000,],[Accounts Receivable,,],[Inventory . .......,$335,000,$380,000
603
3.10 f Net Cash erating rect Method
Income statement: Net Income Depreciation Expense Amortization of Intangible Assets Gain on Sale of Plant Assets Loss on Sale of Investments Balance sheet: Accounts Receivable Inventory Prepaid Expenses Accounts Payable (to merchandise suppliers) Accrued Expenses Payable
Dec.31, 2015
Jan.1, 2015
$385,000 135,000 40,000 90,000 35,000
$335,000 $380,000 503,000 575,000 22,000 13,000 379,000 410,000 180,000 155,000
Among the transactions of Sal
