Josephine Company Had Net Income of $21,850 for the Year

question 54

Essay

Josephine Company had net income of $21,850 for the year ended December 31,2015.Additional information from the income statement follows:
The company also reported the following balances:
Required:
Prepare the operating activities section of the statement of cash flows for the year ended December 31,2015.Use the indirect method.

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Definitions:

Standard Deviation

Standard deviation is a statistical measure of the dispersion or variability of returns for a given security or market index, indicating the degree of risk involved.

Risky Asset

Any asset that has a significant degree of risk associated with its expected returns, including the possibility of losing some or all of the original investment.

Expected Rate of Return

The average amount of profit or loss one can expect on an investment, based on historical data or estimations of future performance.

Variance

A statistical measurement of the spread between numbers in a data set, reflecting their volatility.