Question: help with statement of cash flows using indirect method Problem 11-4A (Algo) Prepare a statement of cash flows-indirect method (LO11-2, 11-3, 11-4, 11-5) The income



Problem 11-4A (Algo) Prepare a statement of cash flows-indirect method (LO11-2, 11-3, 11-4, 11-5) The income statement, balance sheets, and additional information for Video Phones, Incorporated, are provided. VIDEO PHONES, INCORPORATED Balance Sheets December 31 2024 Assets Current assets: Cash Accounts receivable Inventory Prepaid rent $190,34079,900105,00010,560$136,22059,000134,0005,280 Long-term assets: Investments Land Equipment Accumulated depreciation Total assets Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable Long-term liabilities: Notes payable Stockholders' equity: common stock Retained earnings Total 1iabilities and stockholders' equity Additional Information for 2024 : 1. Purchased invstment in bonds for $104,000. 2. Sold land for $21,100. The land originally was purchased for $29,000, resulting in a $7,900 loss being recorded at the time of the sale. 3. Purchased $59,000 in equipment by issuing a $59,000 long-term note payable to the seller. No cash was exchanged in the transaction. 4. Declared and paid a cash dividend of $24,500. Required: Prepare the statement of cash flows using the indirect method. Disclose any noncash transactions in an accompanying note. (Amounts to be deducted, cash outflows, and any decrease in cash should be indicated with a minus sign.)
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
