The following information is provided for Jolly Ltd. 

Additional information: 

1. Profit for 2024 was $93,000. 

2. Depreciation expense was $34,000. 

3. Cash dividends of $39,000 were declared and paid. 

4. Bonds payable with a carrying amount of $50,000 were redeemed for $50,000 cash. 

5. Common shares were issued for $42,000 cash. 

6. No equipment was sold during 2024. 

7. Land was sold at its carrying value. 

Instructions 

Prepare a statement of cash flows for 2024 using the indirect method.

Transcribed Image Text:

Assets Cash Accounts receivable Inventory Land JOLLY LTD. Balance Sheet December 31 Equipment Accumulated depreciation-equipment Total assets Liabilities and Shareholders' Equity Accounts payable Bonds payable Common shares Retained earnings Total liabilities and shareholders' equity 2024 $ 68,000 88,000 167,000 80,000 260,000 (66,000) $597,000 $ 39,000 150,000 216,000 192,000 $597,000 2023 $ 22,000 76,000 189,000 100,000 200,000 (32,000) $555,000 $ 43,000 200,000 174,000 138,000 $555,000