Problem 13-28 (Part Level Submission)

Kate Petusky prepared Addison Controls? balance sheet and income statement for 2013. Before she could complete the statement of cash flows, she had to leave town to attend to a family emergency. Because the full set of statements must be provided to the auditors today, Addison?s president, Lance Meyers, has asked you to prepare the statement of cash flows. Meyers has provided you with the balance sheet and income statement that Petusky prepared, as well as some notes she made:

Addison Controls Income Statement For the Year Ended December 31, 2013
Sales revenue	$127,930
Cost of goods sold	69,800
Gross margin	58,130
Selling expense	13,100
Administrative expense	8,090
Salaries expense	20,050
Depreciation expense	1,900
Interest expense	4,090	47,230
Income before gain and taxes	10,900
Gain on sale of land	930
Income tax expense	830
Net income	$11,000

Addison Controls Comparative Balance Sheets As of December 31
2013	2012
Cash	$5,110	$4,380
Accounts receivable, net	6,350	5,600
Inventory	31,750	34,300
Total current assets	43,210	44,280
Property, plant, & equipment, net	211,600	215,300
Total assets	$254,810	$259,580
Accounts payable	$3,430	$5,970
Accrued expenses	610	800
Salaries payable	1,850	1,560
Taxes payable	2,120	2,690
Bonds payable	60,100	50,010
Total liabilities	68,110	61,030
Common stock	125,100	125,100
Retained earnings	61,600	73,450
Total stockholders? equity	186,700	198,550
Total liabilities & stockholders' equity	$254,810	$259,580

?	Equipment with an original cost of $35,000 was sold for $20,310. The book value of the equipment was $19,380.
?	On June 1, 2013, the company purchased new equipment for cash at a cost of $17,580.
?	At the end of the year, the company issued bonds payable for $10,090 cash. The bonds will mature on December 31, 2017.
?	The company paid $22,850 in cash dividends for the year.

Using the direct method, prepare Addison Control?s statement of cash flows for 2013.(If amount decreases cash flow then enter with a negative sign preceding the number or parenthesis, e.g. -15,000 or (15,000).)

Addison Controls Statement Of Cashflows For The Year Ended December 31,2013
Change in cashCash, beginning balanceCash flows from operating activitiesCash flows from financing activitiesCash, ending balanceCash flows from investing activities
Payments for income taxesCollections from customersSale of equipmentPayments to suppliersIssue bondsPayments for operating expensesPurchase of equipmentCash dividends on common stockPayments to employees	$
Sale of equipmentCollections from customersPayments for income taxesPayments to employeesIssue bondsPurchase of equipmentCash dividends on common stockPayments for operating expensesPayments to suppliers
Payments to employeesPayments for operating expensesPayments for income taxesPayments to suppliersPurchase of equipmentCollections from customersSale of equipmentCash dividends on common stockIssue bonds
Purchase of equipmentPayments for operating expensesPayments for income taxesCollections from customersCash dividends on common stockPayments to suppliersSale of equipmentPayments to employeesIssue bonds
Cash dividends on common stockSale of equipmentPurchase of equipmentPayments to employeesIssue bondsCollections from customersPayments to suppliersPayments for operating expensesPayments for income taxes
Net cashprovidedusedbyinvestingfinancingoperatingactivities	$
Cash flows from operating activitiesCash, beginning balanceCash flows from financing activitiesCash, ending balanceChange in cashCash flows from investing activities
Payments to employeesPayments for income taxesCollections from customersIssue bondsCash dividends on common stockPayments to suppliersPayments for operating expensesSale of equipmentPurchase of equipment
Payments for income taxesPayments to suppliersCash dividends on common stockPayments for operating expensesIssue bondsPayments to employeesSale of equipmentPurchase of equipmentCollections from customers
Net cashprovidedusedbyfinancingoperatinginvestingactivities
Cash, ending balanceChange in cashCash flows from financing activitiesCash, beginning balanceCash flows from operating activitiesCash flows from investing activities
Payments to employeesPurchase of equipmentSale of equipmentCash dividends on common stockCollections from customersPayments to suppliersPayments for operating expensesIssue bondsPayments for income taxes
Payments to suppliersCollections from customersPayments for operating expensesPayments for income taxesPayments to employeesSale of equipmentPurchase of equipmentIssue bondsCash dividends on common stock
Net cashusedprovidedbyinvestingoperatingfinancingactivities
Cash flows from operating activitiesChange in cashCash, beginning balanceCash, ending balanceCash flows from investing activitiesCash flows from financing activities
Cash, beginning balanceCash, ending balanceCash flows from operating activitiesChange in cashCash flows from investing activitiesCash flows from financing activities
Cash, ending balanceChange in cashCash flows from operating activitiesCash, beginning balanceCash flows from investing activitiesCash flows from financing activities	$

3/31/2016 Problem 1328 (Part Level Submission) Print by: Abby Bachman GB519: Measurement and Decision Making 1602D01 / Unit 6 Final Exam Graded GB519 *Problem 1328 (Part Level Submission) Kate Petusky prepared Addison Controls' balance sheet and income statement for 2013. Before she could complete the statement of cash flows, she had to leave town to attend to a family emergency. Because the full set of statements must be provided to the auditors today, Addison's president, Lance Meyers, has asked you to prepare the statement of cash flows. Meyers has provided you with the balance sheet and income statement that Petusky prepared, as well as some notes she made: Addison Controls Income Statement For the Year Ended December 31, 2013 Sales revenue $127,930 Cost of goods sold 69,800 Gross margin 58,130 Selling expense 13,100 Administrative expense Salaries expense 8,090 20,050 Depreciation expense 1,900 Interest expense 4,090 Income before gain and taxes 47,230 10,900 Gain on sale of land 930 Income tax expense 830 $11,000 Net income Addison Controls Comparative Balance Sheets As of December 31 2013 Cash Accounts receivable, net Inventory Total current assets Property, plant, & equipment, net Total assets Accounts payable Accrued expenses 2012 $5,110 $4,380 6,350 5,600 31,750 34,300 43,210 44,280 211,600 215,300 $254,810 $259,580 $3,430 $5,970 610 800 Salaries payable 1,850 1,560 Taxes payable 2,120 2,690 Bonds payable 60,100 50,010 Total liabilities 68,110 61,030 Common stock 125,100 125,100 61,600 73,450 186,700 198,550 Retained earnings Total stockholders' equity http://edugen.wiley.com/edugen/shared/assignment/test/qprint.uni 1/3 3/31/2016 Problem 1328 (Part Level Submission) Total liabilities & stockholders' equity $254,810 $259,580 Equipment with an original cost of $35,000 was sold for $20,310. The book value of the equipment was $19,380. On June 1, 2013, the company purchased new equipment for cash at a cost of $17,580. At the end of the year, the company issued bonds payable for $10,090 cash. The bonds will mature on December 31, 2017. The company paid $22,850 in cash dividends for the year. *(a) Your answer is partially correct. Calculate the following amounts: a. Collections from customers 127,180 b. Payments to suppliers 72,340 c. Payments to employees 19,760 d. Payments for operating expenses 21,380 e. Payments for income taxes 1,400 Attempts: 1 of 1 used *(b) Using the direct method, prepare Addison Control's statement of cash flows for 2013. (If amount decreases cash flow then enter with a negative sign preceding the number or parenthesis, e.g. 15,000 or (15,000).) Addison Controls Statement Of Cashflows For The Year Ended December 31, 2013 [no answer] [no answer] $ [no answer] [no answer] [no answer] [no answer] Net cash [no answer] by [no answer] activities $ [no answer] [no answer] [no answer] http://edugen.wiley.com/edugen/shared/assignment/test/qprint.uni 2/3 3/31/2016 Problem 1328 (Part Level Submission) Net cash [no answer] by [no answer] activities [no answer] [no answer] [no answer] Net cash [no answer] by [no answer] activities [no answer] [no answer] [no answer] $ Attempts: 0 of 1 used Copyright 20002016 by John Wiley & Sons, Inc. or related companies. All rights reserved. http://edugen.wiley.com/edugen/shared/assignment/test/qprint.uni 3/3