Evereise 167 atement f cach floe lindirec mothedl LO255 Prenering western Environmental Inc. Comparative Balance Sheet...

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Evereise 167 atement f cach floe lindirec mothedl LO255 Prenering western Environmental Inc. Comparative Balance Sheet Information June 30 2020 2019 Cash ৪9,968 91,000 80,110 6,430 32, 000 Accounts receivable (net) Inventory Prepaid expenses Equipment Accumulated depreciation Accounts payable 73,480 116,110 5,190 139, 000 7,800 37,400 151,000 32,600 30, 200 7,400 2,830 43,000 271, eaa 31,470 Wages payable Income taxes payable Notes payable (long-term) 18, 200 4,270 79, e0e 211, e00 9,830 Common e hares Retained earnings Western Environmental Inc. Income Statement For Year Ended June 30, 2820 Sales $781, 000 477, 800 $303, 200 Cost of goods sold Gross profit Operating expenses: Depreciation expense $ 70,270 ৪৪, 358 Other expenses Total operating expenses Profit from operations Gain on sale of equipment 150,620 $152,580 1,400 Profit before taxes $153,980 52,580 Income taxes Profit $101,400 Requlred: Use the Western Environmental inc. information given below to prepare a statement of cash flows for the year ended June 30, 2020, using the Indirect method. (List any deduction in cash and cash outflows es negative amou its.) a. A note is retired at carrying value. b. The only changes affecting retalned earnings during 2020 are profit and cash dividends paid. c. New equipment is acquired during 2020 for $67,270. d. The profit on sale of equipment costing $55,270 during 2020 Is $1,400. e. Prepald expenses and wages expense affect other expenses on the Income statement. f. All sales and purchases of merchandise were on credit. WESTERN ENVIRONMENTAL INC. Statement of Cash Flows For Year Ended June 30, 2020 Cash flows from operating activities: Adjustments to reconcile profit to net cash provided by operating activities: Cash flows from investing activities: Cash flows from financing activities: Evereise 167 atement f cach floe lindirec mothedl LO255 Prenering western Environmental Inc. Comparative Balance Sheet Information June 30 2020 2019 Cash ৪9,968 91,000 80,110 6,430 32, 000 Accounts receivable (net) Inventory Prepaid expenses Equipment Accumulated depreciation Accounts payable 73,480 116,110 5,190 139, 000 7,800 37,400 151,000 32,600 30, 200 7,400 2,830 43,000 271, eaa 31,470 Wages payable Income taxes payable Notes payable (long-term) 18, 200 4,270 79, e0e 211, e00 9,830 Common e hares Retained earnings Western Environmental Inc. Income Statement For Year Ended June 30, 2820 Sales $781, 000 477, 800 $303, 200 Cost of goods sold Gross profit Operating expenses: Depreciation expense $ 70,270 ৪৪, 358 Other expenses Total operating expenses Profit from operations Gain on sale of equipment 150,620 $152,580 1,400 Profit before taxes $153,980 52,580 Income taxes Profit $101,400 Requlred: Use the Western Environmental inc. information given below to prepare a statement of cash flows for the year ended June 30, 2020, using the Indirect method. (List any deduction in cash and cash outflows es negative amou its.) a. A note is retired at carrying value. b. The only changes affecting retalned earnings during 2020 are profit and cash dividends paid. c. New equipment is acquired during 2020 for $67,270. d. The profit on sale of equipment costing $55,270 during 2020 Is $1,400. e. Prepald expenses and wages expense affect other expenses on the Income statement. f. All sales and purchases of merchandise were on credit. WESTERN ENVIRONMENTAL INC. Statement of Cash Flows For Year Ended June 30, 2020 Cash flows from operating activities: Adjustments to reconcile profit to net cash provided by operating activities: Cash flows from investing activities: Cash flows from financing activities:

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Solution Sale Value of Old Equipment Cost 55270 Accumulated Depreciation Beg bal in Acc dep Deprecia... View the full answer