Comparative balance sheets for 2021 and 2020 and a statement of income for 2021 are given below

Question:

Comparative balance sheets for 2021 and 2020 and a statement of income for 2021 are given below for Metagrobolize Industries. Additional information from the accounting records of Metagrobolize also is provided.

image

Additional information from the accounting records:a. Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2021.b. During 2021, equipment with a cost of $300,000 (90% depreciated) was sold.c. The statement of shareholders? equity reveals reductions of $225,000 and $450,000 for stock dividends and cash dividends, respectively.

Required:Prepare the statement of cash flows of Metagrobolize for the year ended December 31, 2021. Present cash flows from operating activities by the direct method. (You may omit the schedule to reconcile net income to cash flows from operating activities.)

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  book-img-for-question

Intermediate Accounting

ISBN: 978-1260481952

10th edition

Authors: J. David Spiceland, James Sepe, Mark Nelson, Wayne Thomas

Question Posted: