Presented on the shown below are the comparative balance sheets for Nunez Company at December 31. Additional
Question:
Presented on the shown below are the comparative balance sheets for Nunez Company at December 31.
Additional information:
1. Operating expenses include depreciation expense $65,000 and charges from prepaid expenses of $4,400.
2. Land was sold for cash at cost.
3. Cash dividends of $59,290 were paid.
4. Net income for 2010 was $32,890.
5. Equipment was purchased for $70,000 cash. In addition, equipment costing $40,000 with a book value of $23,000 was sold for $25,000 cash.
6. Bonds were converted at face value by issuing 30,000 shares of $1 par value common stock.
Instructions
Prepare a statement of cash flows for 2010 using the indirectmethod.
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... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...
Step by Step Answer:
Financial Accounting Tools for Business Decision Making
ISBN: 978-0470239803
5th Edition
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso