Condensed financial data of Lemere Inc. follow. Additional information:1. New plant assets costing $100,000 were purchased for

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Condensed financial data of Lemere Inc. follow.

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Additional information:1. New plant assets costing $100,000 were purchased for cash during the year.2. Old plant assets having an original cost of $57,500 and accumulated depreciation of $48,500 were sold for $1,500 cash.3. Bonds payable matured and were paid off at face value for cash.4. A cash dividend of $26,030 was declared and paid during the year.InstructionsPrepare a statement of cash flows using the indirectmethod.

Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...
Face Value
Face value is a financial term used to describe the nominal or dollar value of a security, as stated by its issuer. For stocks, the face value is the original cost of the stock, as listed on the certificate. For bonds, it is the amount paid to the...
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Financial Accounting Tools for business decision making

ISBN: 978-0470534779

6th Edition

Authors: Paul D. Kimmel, Jerry J. Weygandt, Donald E. Kieso

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