Get Wired, Inc.  
Income Statement  
Year Ended December 31, 2025  
Net Sales Revenue  $445,000
Cost of Goods Sold  210,200
Gross Profit  234,800
Operating Expenses:  
Salaries Expense $75,400
Depreciation Expense—Plant Assets 14,300
Other Operating Expenses 10,000
Total Operating Expenses  99,700
Operating Income  135,100
Other Income and (Expenses):  
Interest Revenue 9,000
Interest Expense (21,200)
Total Other Income and (Expenses)  (12,200)
Net Income Before Income Taxes  122,900
Income Tax Expense  19,400
Net Income  $103,500

 Additionally,

Get WiredGet Wired, Inc. purchased land of 24,500 by financing it 100% with long-term notes payable during 2025.

During the year, there were no sales of land, no retirements of stock, and no treasury stock transactions. A plant asset was disposed of for $0. The cost and the accumulated depreciation of the disposed asset was $11,570.

The plant acquisition was for cash.

1.Prepare the 2025 statement of cash flows, formatting operating activities by the indirect method

2.How will what you learned in this problem help you evaluate an investment?

 

 

Answer rating: 100% (QA)

To prepare the 2025 statement of cash flows for Get Wired Inc using the indirect method we need to analyze the information provided in the income stat... View the full answer