The comparative statements of financial position for Hinckley Corporation include the information shown. Additional data related to
Question:
The comparative statements of financial position for Hinckley Corporation include the information shown.
Additional data related to 2015 are as follows.
1. Equipment that had cost €11,000 and was 40% depreciated at time of disposal was sold for €2,500.
2. €10,000 of the long-term note payable was paid by issuing ordinary shares.
3. Cash dividends paid were €5,000.
4. On January 1, 2015, the building was completely destroyed by a flood. Insurance proceeds on the building were €32,000.
5. Equity investments were sold at €1,700 above their cost.
6. Cash was paid for the acquisition of equipment.
7. A long-term note for €16,000 was issued for the acquisition of equipment.
8. Interest of €2,000 and income taxes of €6,500 were paid in cash.
Instructions Prepare a statement of cash flows using the indirect method.
Step by Step Answer:
Intermediate Accounting IFRS Edition
ISBN: 9781118443965
2nd Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield