Kate Petusky prepared Addison Controls’ balance sheet and income statement for 2013. Before she could complete the statement of cash flows, she had to leave town to attend to a family emergency. Because the full set of statements must be provided to the auditors today, Addison’s president, Lance Meyers, has asked you to prepare the statement of cash flows. Meyers has provided you with the balance sheets and income statement that Petusky prepared, as well as some notes she made:

Addison Controls Income Statement For the Year Ended December 31, 2013
Sales revenue				$ 128,000
Cost of goods sold				70,250
Gross margin				57,750
Selling expense		$13,410
Administrative expense		8,380
Salaries expense		20,290
Depreciation expense		1,930
Interest expense		4,380		48,390
Income before gain and taxes				9,360
Gain on sale of Land				941
Income tax expense				847
Net income				$ 9,454

Addison Controls Comparative Balance Sheets As of December 31
			2013			2012
Cash		$	5,300		$	4,220
Accounts receivable, net			6,370			5,520
Inventory			31,710			34,370
Total current assets			43,660			44,170
Property, plant, & equipment, net			211,630			215,420
Total Assets		$	255,290		$	259,590
Accounts payable		$	3,480		$	6,140
Accrued expenses			2,510			2,490
Taxes payable			2,170			2,870
Bonds payable			60,070			50,070
Total liabilities			68,230			61,570
Common stock			125,370			125,370
Retained earnings			61,690			72,650
Total stockholders’ equity			187,060			198,020
Total liabilities & stockholders’ equity		$	255,290		$	259,590

•		Equipment with an original cost of $35,110 was sold for $20,369. The book value of the equipment was $19,450.
•		On June 1, 2013, the company purchased new equipment for cash at a cost of $17,560.
•		At the end of the year the company issued bonds payable for $10,000 cash. The bonds will mature on December 31, 2017.
•		The company paid $20,539 in cash dividends for the year.

Using the indirect method, prepare Addison Controls' statement of cash flows for 2013. (If an amount decreases cash flow then enter with a negative sign preceding the number or parenthesis, e.g. -15,000 or (15,000).)

Addison Control Statement of Cash Flows For the Year Ended December 31, 2013
		$
	$
Net cash by activities
Net cash by activities
Net cash by activities
		$

Answer rating: 100% (QA)

CASHFLOW STATEMENT OF ADDISON CONTROL Indirect Method FOR THE YEAR ENDED 31ST DECEMBER 2013 PARTICUL... View the full answer