Statement of Cash Flows-Indirect Method The following balances are available for Chrisman Company: Cash Accounts receivable...

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Statement of Cash Flows-Indirect Method The following balances are available for Chrisman Company: Cash Accounts receivable Inventory Prepaid rent Land Plant and equipment Accumulated depreciation Totals Accounts payable Income taxes payable Short-term notes payable Bonds payable Common stock Retained earnings Totals December 31 2017 2016 $13,600 $10,900 27,300 20,400 21,600 36,100 12,300 8,200 102,200 102,200 545,000 408,800 (88,600) (40,900) $630,700 $548,400 $16,400 $13,600 4,100 6,800 47,700 34,100 102,000 136,000 272,500 204,400 188,000 153,500 $630,700 $548,400 Bonds were retired during 2017 at face value, plant and equipment were acquired for cash, and common stock was issued for cash. Depreciation expense for the year was $47,700. Net income was reported at $34,500. Required: 1. Prepare a statement of cash flows for 2017 using the indirect method in the Operating Activities section. Use the minus sign to indicate cash payments, cash outflows, or decreases in cash. Prepare a statement of cash flows for 2017 using the indirect method in the Operating Activities section. Use the minus sign to indicate cash payments, cash outflows, or decreases in cash. Chrisman Company Statement of Cash Flows For the Year Ended December 31, 2017 Cash Flows from Operating Activities Net income ✓ Adjustments to reconcile net income to net cash provided by operating activities: Depreciation expense ✔ Increase in accounts receivable Decrease in inventory Increase in prepaid rent Increase in accounts payable - ✓ ✓ Decrease in income taxes payable - V Net cash provided by operating activities Cash Flows from Investing Activities Acquisition of plant and equipment Cash Flows from Financing Activities Retirement of bonds payable Issuance of short-term notes payable Issuance of common stock ✓ ✓ ✓ Net cash provided by financing activities Net decrease in cash Cash balance, December 31, 2016 Cash balance, December 31, 2017 ✓ 000000 gl goog Statement of Cash Flows-Indirect Method The following balances are available for Chrisman Company: Cash Accounts receivable Inventory Prepaid rent Land Plant and equipment Accumulated depreciation Totals Accounts payable Income taxes payable Short-term notes payable Bonds payable Common stock Retained earnings Totals December 31 2017 2016 $13,600 $10,900 27,300 20,400 21,600 36,100 12,300 8,200 102,200 102,200 545,000 408,800 (88,600) (40,900) $630,700 $548,400 $16,400 $13,600 4,100 6,800 47,700 34,100 102,000 136,000 272,500 204,400 188,000 153,500 $630,700 $548,400 Bonds were retired during 2017 at face value, plant and equipment were acquired for cash, and common stock was issued for cash. Depreciation expense for the year was $47,700. Net income was reported at $34,500. Required: 1. Prepare a statement of cash flows for 2017 using the indirect method in the Operating Activities section. Use the minus sign to indicate cash payments, cash outflows, or decreases in cash. Prepare a statement of cash flows for 2017 using the indirect method in the Operating Activities section. Use the minus sign to indicate cash payments, cash outflows, or decreases in cash. Chrisman Company Statement of Cash Flows For the Year Ended December 31, 2017 Cash Flows from Operating Activities Net income ✓ Adjustments to reconcile net income to net cash provided by operating activities: Depreciation expense ✔ Increase in accounts receivable Decrease in inventory Increase in prepaid rent Increase in accounts payable - ✓ ✓ Decrease in income taxes payable - V Net cash provided by operating activities Cash Flows from Investing Activities Acquisition of plant and equipment Cash Flows from Financing Activities Retirement of bonds payable Issuance of short-term notes payable Issuance of common stock ✓ ✓ ✓ Net cash provided by financing activities Net decrease in cash Cash balance, December 31, 2016 Cash balance, December 31, 2017 ✓ 000000 gl goog

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Chrisman Company Statement of Cash Flows For the Year Ended December 31 2017 Cash Flows from Operati... View the full answer