Using Excel to prepare the statement of cash flows, indirect method
The James Island Clothing Company began operations on July 1, 2018.
The adjusted trial balance as of December 31, 2018 appears below, along with transaction data for 2018.
	THE JAMES ISLAND CLOTHING COMPANY
	Worksheet
	12/31/18
	Account Title	Adjusted Trial Balance
		Debit	Credit
	Cash	$ 95,700
	Accounts Receivable	12,000
	Inventory	4,400
	Office Equipment	26,000
	Truck	18,000
	Accumulated DepreciationPlant Assets		$ 6,000
	Accounts Payable		5,500
	Note PayableShort Term		10,000
	Note PayableLong Term		33,000
	Common Stock		100,000
	Retained Earnings
	Dividends	1,000
	Sales Revenue		15,000
	Cost of Goods Sold	3,600
	Rent Expense	2,000
	Advertising Expense	800
	Depreciation Expense	6,000
		$ 169,500	$ 169,500
	Transaction Data for 2018
	Cash paid for purchase of office equipment	$ 6,000
	Cash paid for purchase of truck	5,000
	Acquisition of Property, Plant, and Equipment with Notes PayableLong-term	33,000
	Cash payment of dividends	1,000
	Cash receipt from issuance of common stock	100,000
Requirements:
1.	Complete the worksheet for the James Island Clothing Company, filling in the transaction analysis columns.
	Note: Some of the input cells marked in blue may not require entries.
2.	Prepare the James Island Clothing Company statement of cash flows for the six months ended December 31, 2018. Use the indirect method.
	Note: Some of the input cells marked in blue may not require entries.
Excel Skills:
1.	Use cell references in formulas.
2.	Format cells with comma format, dollar format, and underlines as appropriate.

Requirement 1
Complete the worksheet for the James Island Clothing Company, filling in the transaction analysis columns.
Note: Some of the input cells marked in blue may not require entries.
The James Island Clothing Company
Spreadsheet for Statement of Cash Flows
Year Ended December 31, 2018
Panel A Balance Sheet	Balance 7/1/18	Transaction Analysis		Balance 12/31/18
		Debit	Credit
Cash	$ 0	$ 95,700		$ 95,700
Accounts Receivable	0	12,000		12,000
Inventory	0	4,400		4,400
Office Equipment	0	26,000		26,000
Truck	0	18,000		18,000
Accumulated DepreciationPlant Assets	0		6,000	$ 6,000
Total Assets	$ 0
Accounts Payable	0		$ 5,500	$ 5,500
Note Payable -Short Term	0		10,000	$ 10,000
Note Payable - Long Term	0		33,000	$ 33,000
Total Liabilities	0
Common Stock	0		100,000	100,000
Retained Earnings	0	1,000	2,600	1,600
Total Liabilities and Stockholders' Equity	$ 0
Panel B Statement of Cash Flows
Cash Flows from Operating Activities:
Net Income		2,600
Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities
Depreciation Expense - Plant Assets		6,000
Increase in Accounts Receivable			12,000
Increase in Inventory			4,400
Increase in Accounts Payable		5,500
Increase in Notes PayableShort-term		10,000
Net Cash Provided by Operating Activities
Cash Flows from Investing Activities:
Cash Paid for Acquisition of Plant Assets			11,000
Net Cash Used for Investing Activities
Cash Flows from Financing Activities:
Cash Receipt from Issuance of Common Stock		100,000
Cash Payment of Dividends			1,000
Net Cash Provided by Financing Activities
Net Increase (Decrease) in Cash:			95,700
Total		281,200	281,200

Need Requirement 2