PROBLEM 2: COMPLETE THE PARTIAL COMPLETED CASH FLOW STATEMENT Selected Balance Sheet Information 12/31/19 12/31/18 Equipment Accum Depr 575,000 (125,000) 350,000 (105,000) USE THE PARTIAL BALANCE SHEET AND ADDITIONAL INFO TO COMPLETE THE STMT OF CASH FLOW FOR CASH IS KING INC FOR 2019. IT IS PARTIALLY COMPLETED FOR YOU. Common Stock, Par APIC, Common Stock 1 299,999 1 99,999 Retained Earnings 350,000 125,000 Additional info: 1) The company exchanged $200K in common stock for equipment worth $200K. Do not be concerned about splitting stock between Par and APIC. 2) The company paid dividends of $20,000 3) The Company sold equipment costing $65,000 and accumulated depreciation of $47,000 for $12,000 cash. 4) The company sold equipment costing $50,000 that had acumulated depreciation of $33,000 for $27,000 cash 5) Assume all other transactions are completed with cash. PROBLEM 2 : FINISH THE CASH FLOW STATEMENT ALREADY STARTED PROBLEM 2 COMPANY Statement of Cash Flows Cash flows from operating activities Net income Adjustments to reconcile Net Income to cash flows from operations Decrease in AR 50,000 Increase in Prepaids (20,000) Decrease in AP (30,000) Non Cash income and expenses USE THE INFO PROVIDED ON PRIOR TAB TO COMPLETE THE STMT OF CASH FLOW FOR CASH IS KING. SOME OF THE STATEMENT HAS BEEN DONE FOR YOU.T ACCOUNTS ARE OPTIONAL, BUT HELPFUL, ON NEXT TAB. Net cash operating activties Cash flows from investing activities Net cash investing activities Cash flows from financing activities Net cash financing activities Net increase (decrease) in cash Cash at the beginning of year Cash at the end of year Non Cash Transactions: 110,000 $ 330,000 PROBLEM 2 TACCOUNTS EQUIPMENT CASH ACCUM DEPR APIC, COMMON STOCK RETAINED EARNINGS PROBLEM 2: COMPLETE THE PARTIAL COMPLETED CASH FLOW STATEMENT Selected Balance Sheet Information 12/31/19 12/31/18 Equipment Accum Depr 575,000 (125,000) 350,000 (105,000) USE THE PARTIAL BALANCE SHEET AND ADDITIONAL INFO TO COMPLETE THE STMT OF CASH FLOW FOR CASH IS KING INC FOR 2019. IT IS PARTIALLY COMPLETED FOR YOU. Common Stock, Par APIC, Common Stock 1 299,999 1 99,999 Retained Earnings 350,000 125,000 Additional info: 1) The company exchanged $200K in common stock for equipment worth $200K. Do not be concerned about splitting stock between Par and APIC. 2) The company paid dividends of $20,000 3) The Company sold equipment costing $65,000 and accumulated depreciation of $47,000 for $12,000 cash. 4) The company sold equipment costing $50,000 that had acumulated depreciation of $33,000 for $27,000 cash 5) Assume all other transactions are completed with cash. PROBLEM 2 : FINISH THE CASH FLOW STATEMENT ALREADY STARTED PROBLEM 2 COMPANY Statement of Cash Flows Cash flows from operating activities Net income Adjustments to reconcile Net Income to cash flows from operations Decrease in AR 50,000 Increase in Prepaids (20,000) Decrease in AP (30,000) Non Cash income and expenses USE THE INFO PROVIDED ON PRIOR TAB TO COMPLETE THE STMT OF CASH FLOW FOR CASH IS KING. SOME OF THE STATEMENT HAS BEEN DONE FOR YOU.T ACCOUNTS ARE OPTIONAL, BUT HELPFUL, ON NEXT TAB. Net cash operating activties Cash flows from investing activities Net cash investing activities Cash flows from financing activities Net cash financing activities Net increase (decrease) in cash Cash at the beginning of year Cash at the end of year Non Cash Transactions: 110,000 $ 330,000 PROBLEM 2 TACCOUNTS EQUIPMENT CASH ACCUM DEPR APIC, COMMON STOCK RETAINED EARNINGS