The following are Tamarisk Corp's comparative balance sheet accounts at December 31, 2020 and 2019, with...
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The following are Tamarisk Corp's comparative balance sheet accounts at December 31, 2020 and 2019, with a column showing the increase (decrease) from 2019 to 2020. COMPARATIVE BALANCE SHEETS Increase 2020 2019 (Decrease) Cash $808,400 $703,500 $104.900 Accounts receivable 1,117,000 1.168,800 (51,800) Inventory 1,861,000 1,731,000 130,000 Property, plant, and equipment 3,286,500 2.949.500 337,000 Accumulated depreciation (1,153,400) (1,039,600) (113,800) Investment in Myers Co. 312,100 272.900 39,200 Loan receivable 247,900 247,900 Total assets $6.479,500 $5,786,100 $693,400 Accounts payable $1.007.300 $954,200 $53.100 Income taxes payable 29,700 49,700 (20,000) Dividends payable 79,200 99,500 (20,300) Lease liabililty 396,700 396.700 Common stock, $1 par 500,000 500,000 Paid-in capital in excess of par-common stock 1,485,200 1.485.200 Retained earnings 2.981.400 2.697,500 283.900 Total liabilities and stockholders' equity $6,479,500 $5,786,100 $693,400 Additional information: 1. On December 31, 2019, Tamarisk acquired 25% of Myers Co's common stock for $272,900. On that date, the carrying value of Myers's assets and liabilities, which approximated their fair values, was $1,091,600. Myers reported income of $156,800 for the year ended December 31, 2020. No dividend was paid on Myers's common stock during the year. 2. During 2020. Tamarisk loaned $296.700 to TLC Co., an unrelated company. TLC made the first semiannual principal repayment of $48,800, plus interest at 10%, on December 31, 202o. 3. On January 2, 2020, Tamarisk sold equipment costing $59,700, with a carrying amount of $37,600, for $40,300 cash. 4. On December 31, 2020, Tamarisk entered into a capital lease for an office building. The present value of the annual rental payments is $396,700, which equals the fair value of the building. Tamarisk made the first rental payment of $59,600 when due on January 2, 2021. 5. Net income for 2020 was $363.100. 6. Tamarisk declared and paid the following cash dividends for 2020 and 2019. 2020 2019 Declared December 15, 2020 December 15, 2019 Paid February 28, 2021 February 28, 020 Amount $79,200 $99.500 Prepare a statement of cash flows for Tamarisk Corp. for the year ended December 31, 2020, using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) The following are Tamarisk Corp's comparative balance sheet accounts at December 31, 2020 and 2019, with a column showing the increase (decrease) from 2019 to 2020. COMPARATIVE BALANCE SHEETS Increase 2020 2019 (Decrease) Cash $808,400 $703,500 $104.900 Accounts receivable 1,117,000 1.168,800 (51,800) Inventory 1,861,000 1,731,000 130,000 Property, plant, and equipment 3,286,500 2.949.500 337,000 Accumulated depreciation (1,153,400) (1,039,600) (113,800) Investment in Myers Co. 312,100 272.900 39,200 Loan receivable 247,900 247,900 Total assets $6.479,500 $5,786,100 $693,400 Accounts payable $1.007.300 $954,200 $53.100 Income taxes payable 29,700 49,700 (20,000) Dividends payable 79,200 99,500 (20,300) Lease liabililty 396,700 396.700 Common stock, $1 par 500,000 500,000 Paid-in capital in excess of par-common stock 1,485,200 1.485.200 Retained earnings 2.981.400 2.697,500 283.900 Total liabilities and stockholders' equity $6,479,500 $5,786,100 $693,400 Additional information: 1. On December 31, 2019, Tamarisk acquired 25% of Myers Co's common stock for $272,900. On that date, the carrying value of Myers's assets and liabilities, which approximated their fair values, was $1,091,600. Myers reported income of $156,800 for the year ended December 31, 2020. No dividend was paid on Myers's common stock during the year. 2. During 2020. Tamarisk loaned $296.700 to TLC Co., an unrelated company. TLC made the first semiannual principal repayment of $48,800, plus interest at 10%, on December 31, 202o. 3. On January 2, 2020, Tamarisk sold equipment costing $59,700, with a carrying amount of $37,600, for $40,300 cash. 4. On December 31, 2020, Tamarisk entered into a capital lease for an office building. The present value of the annual rental payments is $396,700, which equals the fair value of the building. Tamarisk made the first rental payment of $59,600 when due on January 2, 2021. 5. Net income for 2020 was $363.100. 6. Tamarisk declared and paid the following cash dividends for 2020 and 2019. 2020 2019 Declared December 15, 2020 December 15, 2019 Paid February 28, 2021 February 28, 020 Amount $79,200 $99.500 Prepare a statement of cash flows for Tamarisk Corp. for the year ended December 31, 2020, using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)
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Accounting
ISBN: 978-0324662962
23rd Edition
Authors: Jonathan E. Duchac, James M. Reeve, Carl S. Warren
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