Financial & Managerial Accounting 3rd Edition by Charles Horngren,Harrison, Walter,Suzanne Oliver

تمرين 43

Preparing the statement of cash flows-indirect method, evaluating cash flows, and measuring free cash flows
The comparative balance sheet of Jackson Educational Supply at December 31, 2012, reported the following:

Jackson's transactions during 2012 included the following:

Requirements
1. Prepare the statement of cash flows of Jackson Educational Supply for the year ended December 31, 2012. Use the indirect method to report cash flows from operating activities.
2. Evaluate Jackson's cash flows for the year. Mention all three categories of cash flows and give the reason for your evaluation.
3. If Jackson plans similar activity for 2013, what is its expected free cash flow