3. (S.0. 2) Presented below are data taken from the records of Geimer Company. December 31, 2019 December 31, 2020 $ 10,000 36,000 66,000 6,000 Cash Accounts Receivable (net) Inventory Prepaid Expenses Land Plant Assets Accumulated Depreciation Accounts Payable Accrued Liabilities Bonds Payable Common Stock Retained Earnings Additional Data: 124,000 225,000 (60,000) $407.000 $43,000 5,000 -0- 300,000 59,000 $407,000 $17,000 41,000 74,000 11,000 72,000 376,000 (40,000) $551.000 $44,000 12,000 100,000 300,000 95,000 $551,000 1. Land carried at a cost of $52,000 on 12/31/19, was sold in 2020 for $39,000. The loss was incorrectly charged directly to retained earnings. 2. Plant assets with a cost of $50,000 that were 60% depreciated were sold during 2020 for $15,000. The loss (not extraordinary) was reported on the income statement. 3. Net income as reported on the income statement for 2020 amounted to $63,000. 4. Cash dividends were paid during 2020. The entry to record the dividend included a debit to retained earnings and a credit to cash. 5. Depreciation expense for the year was $10,000. 6. Plant assets were purchased during the year. The seller accepted $100,000 in bonds and the remainder in cash. Instructions: Prepare a statement of cash flows using the indirect method and direct method for the year ended, December 31, 2020.

3. (S.0. 2) Presented below are data taken from the records of Geimer Company. Cash Accounts Receivable (net) December 31. 2019 $ 10,000 December 31, 2020 $17,000 36,000 41,000 Inventory 66,000 74,000 Prepaid Expenses 6,000 11,000 Land 124,000 72,000 Plant Assets 225,000 376,000 Accumulated Depreciation (60,000) (40,000) $407.000 $551,000 Accounts Payable $43,000 $44,000 Accrued Liabilities 5,000 12,000 Bonds Payable -0- Common Stock 300,000 Retained Earnings 59,000 $407.000 100,000 300,000 95,000 $551,000 Additional Data: 1. Land carried at a cost of $52,000 on 12/31/19, was sold in 2020 for $39,000. The loss was incorrectly charged directly to retained earnings. 2. Plant assets with a cost of $50,000 that were 60% depreciated were sold during 2020 for $15,000. The loss (not extraordinary) was reported on the income statement. 3. Net income as reported on the income statement for 2020 amounted to $63,000. 4. Cash dividends were paid during 2020. The entry to record the dividend included a debit to retained earnings and a credit to cash. 5. Depreciation expense for the year was $10,000. 6. Plant assets were purchased during the year. The seller accepted $100,000 in bonds and the remainder in cash. Instructions: Prepare a statement of cash flows using the indirect method and direct method for the year ended, December 31, 2020.