Question: Can you help me answer this question please? The following information is taken from Gower Corporation's financial statements: December 31 2018 2017 Cash$ 205,000$50,000 Accounts
Can you help me answer this question please?
The following information is taken from Gower Corporation's financial statements:
December 31
20182017
Cash$ 205,000$50,000
Accounts receivable105,00080,000
Allowance for doubtful accounts(8,000)(5,000)
Inventory155,000165,000
Land60,000100,000
Buildings290,000200,000
Accumulated depreciation(80,000)(55,000)
Patents (net of amortization)15,00035,000
$742,000$570,000
Accounts payable$95,000$80,000
Accrued liabilities52,00060,000
Bonds payable125,00060,000
Common stock100,000100,000
Retained earnings400,000280,000
Treasury stock, at cost(30,000)(10,000)
$742,000$570,000
2018
Net income$150,000
Depreciation expense25,000
Amortization of patents7,000
Cash dividends declared and paid30,000
Gain on sale of patents2,000
Instructions:
Create the statement of cash flows for Gower Corporation for 2018 using theindirect methodfor the operating activities section.
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