=+PR 16-1A Statement of cash flows—indirect method obj. 2

✔ Net cash flow from operating activities, $49,520 750 Chapter 16 Statement of Cash Flows The comparative balance sheet of Amelia Enterprises, Inc. at December 31, 2010 and 2009, is as follows:

Dec. 31, 2010 Dec. 31, 2009 Assets Cash . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 73,300 $ 89,900 Accounts receivable (net). . . . . . . . . . . . . . . . . . . . 112,300 121,000 Merchandise inventory. . . . . . . . . . . . . . . . . . . . . . 160,800 149,600 Prepaid expenses . . . . . . . . . . . . . . . . . . . . . . . . . 6,700 4,800 Equipment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 327,500 268,500 Accumulated depreciation—equipment . . . . . . . . . . (85,400) (66,100) _________ _________

$595,200 $567,700 _____ _________ _________ ____ _________ Liabilities and Stockholders’ Equity Accounts payable (merchandise creditors) . . . . . . . . $125,100 $118,800 Mortgage note payable . . . . . . . . . . . . . . . . . . . . . 0 168,000 Common stock, $1 par. . . . . . . . . . . . . . . . . . . . . . 24,000 12,000 Paid-in capital in excess of par—common stock . . . . 288,000 160,000 Retained earnings . . . . . . . . . . . . . . . . . . . . . . . . . 158,100 108,900 _________ _________

$595,200 $567,700 _________ _________ _________ _________ Additional data obtained from the income statement and from an examination of the accounts in the ledger for 2010 are as follows: