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What was the change in accounts payable for Gokhale Method in 2020?

Gokhale_Method Franchise · 2024 FDD

Answer from 2024 FDD Document

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2021 2020
Cash flows from operating activities: 700
Net income 8 14,754 3 26.730
Adjustments to reconcile net income to net
cash provided by operating activities:
Changes in operating assets and liabilities
Accounts receivable (1,597) 19,896
Prepaid and other current assets 428 (429)
Accounts payable 1,921 (7,925)
Payable to teachers 1,365
Other current liabilities 4 (662)
Deferred revenue 1 (8,423) (16,752)
Net cash provided from operating activities P 1 8,448 20,858
Net increase in cash 8,448 20,858
Cash and cash equivalents - beginning of year 100 112,072 91,214
Cash and cash equivalents - end of year S 120,520 $ 112,072
Supplemental disclosures of cash flow information:
Taxes paid $ 800 $ 800

Source: Item 22 — CONTRACTS (FDD page 34)

What This Means (2024 FDD)

According to Gokhale Method's 2024 Franchise Disclosure Document, the change in accounts payable in 2020 was a decrease of $7,925.

This figure reflects the net change in the company's short-term liabilities to its suppliers and creditors during that year. A decrease in accounts payable could suggest that Gokhale Method paid off more of its outstanding bills than it incurred in new payables during 2020.

For a prospective franchisee, this information provides insight into Gokhale Method's financial management and its ability to manage its short-term obligations. Monitoring these changes over several years can reveal trends in the company's payment practices and overall financial health.

Disclaimer: This information is extracted from the 2024 Franchise Disclosure Document and is provided for research purposes only. It does not constitute legal or financial advice. Consult with a franchise attorney before making any investment decisions.