Prepare a complete statement of cash flows - using the indirect method to prepare the operating activities section

BELOW IS THE FORMATTING YOU SHOULD USE

 

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The following information was taken from the financial records of the XYZ Company for 2022. Beginning of Year $391,000 $376,000 264,000 Accounts Receivable 554,300 567,800 Merchandise Inventory 693,000 672,400 Prepaid Insurance 27,000 24,000 Accounts Payable (creditors) 510,000 527,400 Wages Payable 39,500 36,000 The net income reported on the income statement for the current year was $165,000, which included a gain on sale of investments of $6,000 (The investments had a book value of $10,000). Depreciation expense recorded on store equipment for the year amounted to $19,000. Change in Non-Current Assets, Non-Current Liabilities, and Equity Accounts: Long-term investments $30,000 Property, plant and equipment 60,000 Bonds payable 50,000 Common stock 20,000 Dividends 15,000 Required: Prepare a complete Statement of Cash Flows- Using the indirect method to prepare the operating activities section Format is important - make sure that you have appropriate spacing, indents and columns. Cash End of Year The following information was taken from the financial records of the XYZ Company for 2022. Beginning of Year $391,000 $376,000 264,000 Accounts Receivable 554,300 567,800 Merchandise Inventory 693,000 672,400 Prepaid Insurance 27,000 24,000 Accounts Payable (creditors) 510,000 527,400 Wages Payable 39,500 36,000 The net income reported on the income statement for the current year was $165,000, which included a gain on sale of investments of $6,000 (The investments had a book value of $10,000). Depreciation expense recorded on store equipment for the year amounted to $19,000. Change in Non-Current Assets, Non-Current Liabilities, and Equity Accounts: Long-term investments $30,000 Property, plant and equipment 60,000 Bonds payable 50,000 Common stock 20,000 Dividends 15,000 Required: Prepare a complete Statement of Cash Flows- Using the indirect method to prepare the operating activities section Format is important - make sure that you have appropriate spacing, indents and columns. Cash End of Year

Answer rating: 100% (QA)

Operating Activities Net Income 165000 Adjustments Depreciation Expense 19000 Loss on Sale of Investments 6000 Changes in Current Assets and Liabiliti... View the full answer