Assets Current assets: Cash Accounts receivable. Inventory Prepaid rent Long-term assets: Land Equipment Accumulated depreciation Total...

 

Transcribed Image Text:

Assets Current assets: Cash Accounts receivable. Inventory Prepaid rent Long-term assets: Land Equipment Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable Long-term liabilities: Notes payable Stockholders' equity: Common stock Retained earnings Total liabilities and stockholders' equity $141,800 77,600 94,000 3,800 475,000 774,000 (427,000) $1,139,200 $98,000 6,900 7,800 115,000 695,000 216,500 $1,139,200 Additional Information for 2024: 1. Net income is $68,000. 2. The company purchases $109,000 in equipment. No equipment was sold. 3. Depreciation expense is $161,000. 4. The company repays $115,000 in notes payable. 5. The company declares and pays a cash dividend of $24,500. $154,300 91,500 79,100 1,900 475,000 665,000 (266,000) $1,200,800 $84, 100 13,800 4,900 230,000 695,000 173,000 $1,200,800 Required: Prepare the statement of cash flows using the indirect method. (Amounts to be deducted, cash outflows, and any indicated with a minus sign.) Assets Current assets: Cash Accounts receivable. Inventory Prepaid rent Long-term assets: Land Equipment Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable Long-term liabilities: Notes payable Stockholders' equity: Common stock Retained earnings Total liabilities and stockholders' equity $141,800 77,600 94,000 3,800 475,000 774,000 (427,000) $1,139,200 $98,000 6,900 7,800 115,000 695,000 216,500 $1,139,200 Additional Information for 2024: 1. Net income is $68,000. 2. The company purchases $109,000 in equipment. No equipment was sold. 3. Depreciation expense is $161,000. 4. The company repays $115,000 in notes payable. 5. The company declares and pays a cash dividend of $24,500. $154,300 91,500 79,100 1,900 475,000 665,000 (266,000) $1,200,800 $84, 100 13,800 4,900 230,000 695,000 173,000 $1,200,800 Required: Prepare the statement of cash flows using the indirect method. (Amounts to be deducted, cash outflows, and any indicated with a minus sign.)

Answer rating: 100% (QA)

Solution Heres the statement of cash flows for 2024 using the indirect method Cash Flows from Operat... View the full answer