The Changes in Each Balance Sheet Account for Carver Corporation

question 3

Essay

The changes in each balance sheet account for Carver Corporation during the year just completed are as follows:
Carver Corporation's income statement for the year just ended shows the following:
$\begin{array}{lr}\text {Sales. }&\$ 350,000 \\\text {Cost of goods sold }&190,000 \\\text { Gross margin}&160,000 \\\text {Selling and administrative expense }&158,000 \\\text { Net income}&\$ 2,000\end{array}$ The company did not dispose of any property,plant,and equipment,buy any long-term investments,issue any bonds payable,or repurchase any of its own common stock during the year.Carver Corporation uses the direct method to construct its statement of cash flows.
Required:
a.Determine the sales adjusted to the cash basis.
b.Determine the cost of goods sold adjusted to the cash basis.
c.Determine the selling and administrative expenses adjusted to a cash basis.
d.Determine the net cash provided by (used in)operating activities.
e.Determine the net cash provided by (used in)investing activities.
f.Determine the net cash provided by (used in)financing activities.

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