Homework # $1$

$($Handwritten solution due on October $30,2023.$ Follow submission instructions at the end$)$

Question $2$:

The Sage Corporation prepared, for $2017$ and $2016,$ the following balance sheet data:

Additional information:

$($a$)$ Sold available$-$for$-$sale securities $($not cash equivalents$)$ costing $$87,750$ for $$90,000.$

$($b$)$ Equipment costing $$18,750$ with a book value of $$3,750$ was sold for $$4,500.$

$($c$)$ Issued $8\%$ bonds payable at par, $$375,000.$

$($d$)$ Purchased new equipment for cash, $$310,125.$

$($e$)$ Paid cash dividends of $$22,500$ during the year.

$($f$)$ Net income for $2017$ was $$45,000.$

$($g$)$ Proceeds from the notes payable were used for operating purposes.

Prepare a cash flow statement for Sage Corporation for $2017,$ using the indirect method.Homework # $1$

$($Handwritten solution due on October $30,2023.$ Follow submission instructions at the end$)$

Question $2$:

The Sage Corporation prepared, for $2017$ and $2016,$ the following balance sheet data:

Additional information:

$($a$)$ Sold available$-$for$-$sale securities $($not cash equivalents$)$ costing $$87,750$ for $$90,000.$

$($b$)$ Equipment costing $$18,750$ with a book value of $$3,750$ was sold for $$4,500.$

$($c$)$ Issued $8\%$ bonds payable at par, $$375,000.$

$($d$)$ Purchased new equipment for cash, $$310,125.$

$($e$)$ Paid cash dividends of $$22,500$ during the year.

$($f$)$ Net income for $2017$ was $$45,000.$

$($g$)$ Proceeds from the notes payable were used for operating purposes.

Prepare a cash flow statement for Sage Corporation for $2017,$ using the indirect method.