Assignment on finance (PDF)

Running head: FINANCE
Finance
Name of the Student:
Name of the University:
Authors Note:

FINANCE 2
Table of Contents
1.1 Identifying the source and uses of funds:.............................................................................3
1.2 Preparing a statement of Cash Flows for the year ended December 31, 2015:...................3
2.1 Drafting the overall template:..............................................................................................4
2.2 Recommending the viable plan:...........................................................................................5
Bibliography:..............................................................................................................................6

FINANCE 3
1.1 Identifying the source and uses of funds:
ROCKWAY FRAMERS LTD
Balance Sheet as of December 31
Particulars 2015 2014
Sources of
funds Uses of funds
Current Asset
Cash
$
1,300
$
20,000 $ (18,700) $ -
Accounts receivable
$
36,000
$
28,000 $ - $ 8,000
Inventories
$
101,000
$
64,500 $ - $ 36,500
Total current asset
$
138,300
$
112,500 $ - $ 25,800
Land
$
57,700
$
44,500 $ - $ 13,200
Building and equipment
$
222,000
$
155,000 $ - $ 67,000
Less depreciation
$
85,000
$
62,000 $ - $ 23,000
Total assets
$
333,000
$
250,000 $ - $ 83,000
Current Liabilities
Accounts payable
$
48,770
$
23,250 $ - $ 25,520
Notes payable
$
104,500
$
37,750 $ - $ 66,750
Total current liabilities
$
153,270
$
61,000 $ - $ 92,270
Long term debt
$
51,000
$
64,000 $ (13,000) $ -
Common stock
$
70,000
$
70,000 $ - $ -
Retained earnings
$
58,730
$
55,000 $ - $ 3,730
Total liabilities and
equity
$
333,000
$
250,000 $ - $ 83,000
1.2 Preparing a statement of Cash Flows for the year ended December 31, 2015:
ROCKWAY - STATEMENT OF CASH FLOW for 2015
Operating activities:
Net income (earnings after taxes) $ 17,055