Bbalance sheet accounts for Planet Inc. show the following amounts at the end of $2022$ and $2023.$

Planet Inc.

Balance Sheet

As at September $30$

$20232022$

Assets

Current Assets

Cash $$7,700$ $$10,300$

Accounts Receivable $$14,400$ $$14,400$

Prepaid Expenses $$2,200$ $$1,300$

Merchandise Inventory $$27,700$ $$11,700$

Total Current Assets $$52,000$ $$37,700$

Long$-$Term Assets

Equipment $$189,000$ $$152,000$

Less: Accumulated Depreciation $$-29,500$ $$-15,200$

Total Long$-$Term Assets $$159,500$ $$136,800$

Total Assets $$211,500$ $$174,500$

Liabilities

Current Liabilities $$16,300$ $$16,300$

Long$-$Term Liabilities $$28,000$ $$43,000$

Total Liabilities $$44,300$ $$59,300$

Shareholders' Equity

Contributed Capital

Preferred Shares $$54,000$ $$54,000$

Common Shares $$31,000$ $$7,000$

Total Contributed Capital $$85,000$ $$61,000$

Retained Earnings $$82,200$ $$54,200$

Total Shareholders' Equity $$167,200$ $$115,200$

Total Liabilities and Equity $$211,500$ $$174,500$

Assume current liabilities include only items from operations $($such as accounts payable, taxes payable$).$ Long$-$term liabilities include items from financing $($such as bonds and other long$-$term liabilities$).$ Note that the company did not sell any equipment and did not borrow any additional long$-$term liabilities throughout the year.

Prepare the cash flow statement for $2023$ using the indirect method. Assume no dividends were declared or paid in $2023.$

Answer rating: 100% (QA)

Answer To prepare the cash flow statement for Planet Inc for the year 2023 using the indirect method ... View the full answer