Refer to the information in Exercise. Using the direct method, prepare the statement of cash flows for the year ended June 30, 2015.
In Exercise
Additional Information
a. A $30,000 note payable is retired at its $30,000 carrying (book) value in exchange for cash.
b. The only changes affecting retained earnings are net income and cash dividends paid.
c. New equipment is acquired for $57,600 cash.
d. Received cash for the sale of equipment that had cost $48,600, yielding a $2,000 gain.
e. Prepaid Expenses and Wages Payable relate to Other Expenses on the income statement.
f. All purchases and sales of inventory are on credit.

  • CreatedApril 23, 2015
  • Files Included
Post your question