Submitted by: Submitted by pupu
Views: 352
Words: 499
Pages: 2
Category: Business and Industry
Date Submitted: 04/08/2012 11:21 AM
Cash Flow Calculation
CFO
Direct method
(1) Cash receive from customer= Revenue- Change in Net A/R+ Change in U/R –BDE
=1000-18+32-5=1009
(2) Cash paid to supplier= COGS + Change in inventory –Change in A/P for inventory
=650+(-1)-(55-40)*0.7=638.5
(3) Cash paid to operating expense= Operating expense+ Change in prepaid assets- Change in A/P for prepaid assets
=97+(39-29)-(55-40)*0.3=102.5
Operating expense includes: Supplies expense, Rent expense, Other operating expense
(4) Cash paid to employees = Salary expense- Change in S/P
=80-(32-24)=72
(5) Cash paid to interest= Interest expense- Change in I/P
=5.75-(3.25-2.5)=5
(6) Cash paid for tax= Tax payable- Change in T/P
=51.5-(51.5-50)=50
(7) Cash receive from other assets= Interest revenue+ Dividend revenue –Unrealized gains in STI
=3.5+7.5-1=10
Cash flow from operating activities=(1)-(2)-(3)-(4)-(5)-(6)+(7)=151
CFO
Indirect method-Reconcile
CFO=NI+ Depreciation-Gain on sale of equipment – Change in Net A/R –Change in inventory –Change in prepaid operating expense+ Change in U/R +Change in A/P+ Change in S/P+ Change in I/P+ Change in T/P+ Stock based compensation+ Loss on the discontinued operations- Unrealized gains on STI- Change in dividend receivable
=72.25+30.5-5-18-(-1)-10+32+15+8+0.75+1.5+5+20-1-1=151
Cash flow from operating activities 151
CFI
Cash paid to buy building (10)
*Change in building 40- Change in N/P 30= Cash paid to buy building 10
Cash paid to buy equipment (50)
*80+30-60=50
Cash received from sale of land 20
*120-100=20
Cash received from sale of equipment 17.5
*30-3.5*5+5=17.5
Cash paid for available for sale securities (25)
*Change in available for sales securities – Unrealized gains on STI=26-1=25
Cash flow from investing activities (47.5)
CFF
Cash paid for dividend (22)
*Total paid dividend=26, and 4 was paid in 2010, so cash paid for dividend (common stock 10 and preferred stock 12 )=22
Cash paid for repurchasing common...