Refer to the information for Rosie-Lee Company below. Additional transactions were as follows: a. Sold equipment costing

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Refer to the information for Rosie-Lee Company below. Additional transactions were as follows:

a. Sold equipment costing $21,600 with accumulated depreciation of $16,200 for $3,600.

b. Issued bonds for $90,000 on December 31.

c. Paid cash dividends of $36,000.

d. Retired mortgage of $108,000 on December 31.

Refer to the information for Rosie-Lee Company below. Additional transactions

Required:
1. Prepare a schedule of operating cash flows using
(a) The indirect method and
(b) The direct method.
2. Prepare a statement of cash flows using the indirect method?

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Cornerstones of managerial accounting

ISBN: 978-1133943983

5th edition

Authors: Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

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