Required information [The following information applies to the questions displayed below.] Comparative balance sheets for 2024...
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Required information [The following information applies to the questions displayed below.] Comparative balance sheets for 2024 and 2023 and a statement of income for 2024 are given below for Metagrobolize Industries. Additional information from the accounting records of Metagrobolize also is provided. METAGROBOLIZE INDUSTRIES Comparative Balance Sheets December 31, 2024 and 2023 ($ in thousands) 2024 2023 Assets Cash $ 1,245 $ 565 Accounts receivable 980 640 Inventory 1,280 715 Land 1,055 790 Building 1,280 1,280 Less: Accumulated depreciation (680) (460) Equipment 3,230 2,440 Less: Accumulated depreciation (905) (670) Patent 1,580 2,070 $ 9,065 $ 7,370 Liabilities Accounts payable $ 1,130 Accrued liabilities Lease liability-land Shareholders' Equity Common stock 680 510 $ 640 510 0 3,340 3,190 Paid-in capital-excess of par Retained earnings 1,130 960 2,275 2,070 $ 9,065 $ 7,370 Lease liability-land Shareholders' Equity Common stock Paid-in capital-excess of par Retained earnings 510 0 3,340 3,190 1,130 960 2,275 2,070 $ 9,065 $ 7,370 METAGROBOLIZE INDUSTRIES Income Statement For the Year Ended December 31, 2024 ($ in thousands) Revenues Sales revenue Gain on sale of land Expenses Cost of goods sold Depreciation expense-building Depreciation expense-equipment Loss on sale of equipment Amortization of patent Operating expenses Net income Additional information from the accounting records: $ 3,928 109 $ 4,037 $ 790 220 676 34 490 690 2,900 $ 1,137 a. Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2024. b. During 2024, equipment with a cost of $490,000 (90% depreciated) was sold. c. The statement of shareholders' equity reveals reductions of $320,000 and $612,000 for stock dividends and cash dividends, respectively. 2. Prepare the statement of cash flows for Metagrobolize Industries. Use the T-account method to assist in your analysis. Note: Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands. (i.e 10,000 should be entered as 10). METAGROBOLIZE INDUSTRIES Statement of Cash Flows For year ended December 31, 2024 ($ in 000s) Cash flows from operating activities: Cash inflows: Cash outflows: Net cash flows from operating activities Cash flows from investing activities: $ 0 Net cash flows from investing activities 0 Cash outflows: Net cash flows from operating activities Cash flows from investing activities: Net cash flows from investing activities Cash flows from financing activities: Net cash flows from financing activities Net increase in cash Cash balance, January 1 Cash balance, December 31 Noncash investing and financing activities: $ 0 0 0 $ 0 Required information [The following information applies to the questions displayed below.] Comparative balance sheets for 2024 and 2023 and a statement of income for 2024 are given below for Metagrobolize Industries. Additional information from the accounting records of Metagrobolize also is provided. METAGROBOLIZE INDUSTRIES Comparative Balance Sheets December 31, 2024 and 2023 ($ in thousands) 2024 2023 Assets Cash $ 1,245 $ 565 Accounts receivable 980 640 Inventory 1,280 715 Land 1,055 790 Building 1,280 1,280 Less: Accumulated depreciation (680) (460) Equipment 3,230 2,440 Less: Accumulated depreciation (905) (670) Patent 1,580 2,070 $ 9,065 $ 7,370 Liabilities Accounts payable $ 1,130 Accrued liabilities Lease liability-land Shareholders' Equity Common stock 680 510 $ 640 510 0 3,340 3,190 Paid-in capital-excess of par Retained earnings 1,130 960 2,275 2,070 $ 9,065 $ 7,370 Lease liability-land Shareholders' Equity Common stock Paid-in capital-excess of par Retained earnings 510 0 3,340 3,190 1,130 960 2,275 2,070 $ 9,065 $ 7,370 METAGROBOLIZE INDUSTRIES Income Statement For the Year Ended December 31, 2024 ($ in thousands) Revenues Sales revenue Gain on sale of land Expenses Cost of goods sold Depreciation expense-building Depreciation expense-equipment Loss on sale of equipment Amortization of patent Operating expenses Net income Additional information from the accounting records: $ 3,928 109 $ 4,037 $ 790 220 676 34 490 690 2,900 $ 1,137 a. Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2024. b. During 2024, equipment with a cost of $490,000 (90% depreciated) was sold. c. The statement of shareholders' equity reveals reductions of $320,000 and $612,000 for stock dividends and cash dividends, respectively. 2. Prepare the statement of cash flows for Metagrobolize Industries. Use the T-account method to assist in your analysis. Note: Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands. (i.e 10,000 should be entered as 10). METAGROBOLIZE INDUSTRIES Statement of Cash Flows For year ended December 31, 2024 ($ in 000s) Cash flows from operating activities: Cash inflows: Cash outflows: Net cash flows from operating activities Cash flows from investing activities: $ 0 Net cash flows from investing activities 0 Cash outflows: Net cash flows from operating activities Cash flows from investing activities: Net cash flows from investing activities Cash flows from financing activities: Net cash flows from financing activities Net increase in cash Cash balance, January 1 Cash balance, December 31 Noncash investing and financing activities: $ 0 0 0 $ 0
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