Question: need help with accounting assignment Denver, Inc. has prepared the following comparative balance sheets for 20x0 and 20x1: 20x1 20x0 Cash 75,000 51,000 A/R 48,000
need help with accounting assignment
Denver, Inc. has prepared the following comparative balance sheets for 20x0 and 20x1:
20x1 20x0
Cash 75,000 51,000
A/R 48,000 39,000
Inventory 54,000 60,000
Prepaid Expense 6,000 9,000
Building 440,000 350,000
Accum. Depr. (145,000) (125,000)
Copyright 51,000 58,000
A/P 51,000 56,000
Accrued Liabilities 18,000 14,000
Mortgage Payable - 150,000
Preferred Stock 175,000 -
PCIEP Pref. 30,000 -
Common Stock 200,000 200,000
R/E 55,000 22,000
- The R/E account has been charged for dividends of $54,000 and credited for the net income for the year.
- The income statement for 20x1 is as follows:
Sales 660,000
Cost of sales 363,000
Gross profit 297,000
Operating expenses 210,000
Net income 87,000
From the information above, prepare a statement of cash flows (operating, investing and financing activities) for the year ended December 31, 20x1. Use the indirect method for the operating activities.
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