The comparative balance sheet for Mosaic Travel Services, Inc., for December 31, 2014 and 2013, is as follows:

The following information is taken from the records of Mosaic Travel Services, Inc.:
a. Land was sold for $ 5,600.
b. Equipment was purchased for cash.
c. There were no disposals of equipment during the year.
d. The common stock was issued for cash.
e. Net income for 2014 was $ 33,000.
f. Cash dividends paid during the year were $ 10,000. Mosaic Travel Services, Inc., uses the indirect method for preparing the statement of cash flows. Prepare the operating section of the statement of cash flows for2014.

Transcribed Image Text:

Mosalc Travel Services, Inc. Comparative Balance Sheets December 31, 2014 and 2013 Assets 2014 2013 5 Current assets 6 Cash 7 Accounts recelvable 8 Inventory 9 Propaid insurance 10Total current assets 11000 S 78,000 58,000 9,000 18,000 79,000 18,000 12,000 105,0005 114,000 57,000 12 Land 13 Equipment 14 Lss: Accumulated depreciation 15 Total assets 16 17 18 Current Eabilities: 19 Accounts pay able 20 Wages payable 21 Interost pay able 22 Income taxes payable 23 Total current labilities 24 25 Notes payable (iong term) 26 Total liabilities 83,000 15,000 5 -329000 -290,000 Labilities 28,000 26,000 12,000 37,000 24,000 73,000 96,000 76,000 87,000 $169,000 163,000 129000 $ 119,000 127,000 Stockholders' equity 28 29 Common stock 30 Retained earnings 31 Total stockholders' equity 32 33 Total liabilities and equity 34 160,0005 $329000 290 000