Hanks Company is developing its annual financial statements at December 31, 2016. The statements are complete except for the statement of cash flows. The completed comparative balance sheets and income statement are summarized as follows:

Additional Data:
a. Bought fixed assets for cash, $12,000.
b. Paid $6.000 on the long-term note payable.
e. Sold unissued common stock for $18,500 cash.
d. Declared and paid a $2,000 cash dividend.
e. Incurred the following expenses: depreciation. $4,000; wages, $12,000; taxes, $2,000; and other, $12,000.

1. Prepare statement of cash flows T-accounts using the indirect method to report cash flows from operating activities.
2. Prepare the statement of cash flows.
3. Prepare a schedule of noncash investing and financing activities if necessary.

  • CreatedJuly 01, 2014
  • Files Included
Post your question