Condensed financial data of Pat Metheny Company for 2020 and 2019 are presented below. ? ? ?
Question:
Condensed financial data of Pat Metheny Company for 2020 and 2019 are presented below.
? ? ? ? ? ? ? ? ? ? ?? ? ? ? ? ? ? ? ?Pat Metheny Company? ? ? ? ? ? ? ? ? ? ?? ? ? ? ? ? ? ? ? ? ?Income Statement? ? ? ? ? ? ? ? ? ? ?For the Year Ended December 31, 2020Sales revenue.......................................................................................$6,900Cost of goods sold.................................................................................4,700Gross margin..........................................................................................2,200Selling and administrative expense.......................................................930Income from operations.......................................................................1,270Other revenues and gainsGain on sale of investments......................................................................80Income before tax..................................................................................1,350Income tax expense..................................................................................540Net income.................................................................................................810Cash dividends..........................................................................................260Income retained in business................................................................$ 550
Additional information:
During the year, $70 of common stock was issued in exchange for plant assets. No plant assets were sold in 2020.
Instructions
Prepare a statement of cash flows using the indirect method.
Step by Step Answer:
Intermediate Accounting
ISBN: 978-1119503668
17th edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfiel