The Carpet Company's 2023 and 2024 balance sheets included the following items: December 31 Cash Accounts...

   

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The Carpet Company's 2023 and 2024 balance sheets included the following items: December 31 Cash Accounts receivable... Merchandise inventory.. Equipment..... Totals.... Accumulated depreciation, equipment..... Taxes payable.... Dividends payable.... Accounts payable........... Accounts with a debit balance Common shares, no-par value....... Retained earnings....... Totals.. Accounts with a credit balance Sales The Carpet Company's income statement was as follows: CARPET COMPANY Income Statement For the Year Ended December 31, 2024 Income taxes expense..... Depreciation expense... Cost of goods sold.. Wages and other operating expenses....... Net income.. $40,000 6,300 4,200 2024 2023 $10,500 $4,000 8,000 9,000 21,000 18,000 18,000 15,000 $57,500 $46,000 $4,000 $3,000 $61,000 7,000 5,000 1,000 2,000 33,000 30,000 1,500 52,000 1,500 11,000 6,000 $ 9,000 $57,500 $46,000 0 Additional information includes the following: 1. Equipment costing $3,500 was purchased during the year. 2. Two hundred common shares were sold and issued at $15 per share. 3. The company paid $2,500 of cash dividends. Required: Prepare the statement of cash flows using the indirect method for the year ended December 31, 2024. The Carpet Company's 2023 and 2024 balance sheets included the following items: December 31 Cash Accounts receivable... Merchandise inventory.. Equipment..... Totals.... Accumulated depreciation, equipment..... Taxes payable.... Dividends payable.... Accounts payable........... Accounts with a debit balance Common shares, no-par value....... Retained earnings....... Totals.. Accounts with a credit balance Sales The Carpet Company's income statement was as follows: CARPET COMPANY Income Statement For the Year Ended December 31, 2024 Income taxes expense..... Depreciation expense... Cost of goods sold.. Wages and other operating expenses....... Net income.. $40,000 6,300 4,200 2024 2023 $10,500 $4,000 8,000 9,000 21,000 18,000 18,000 15,000 $57,500 $46,000 $4,000 $3,000 $61,000 7,000 5,000 1,000 2,000 33,000 30,000 1,500 52,000 1,500 11,000 6,000 $ 9,000 $57,500 $46,000 0 Additional information includes the following: 1. Equipment costing $3,500 was purchased during the year. 2. Two hundred common shares were sold and issued at $15 per share. 3. The company paid $2,500 of cash dividends. Required: Prepare the statement of cash flows using the indirect method for the year ended December 31, 2024.

Answer rating: 100% (QA)

Statement of Cash Flows For the Year Ended December 31 2024 Operating Activities Net Income 9000 Adj... View the full answer