Task #3 - Financial Statements: A&W Inc. currently wants to increase their bank financing and in...

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Task #3 - Financial Statements: A&W Inc. currently wants to increase their bank financing and in order to do so they are being required by the bank to provide more accurate financial statements. The bank is requiring that A&W Inc. prepare the following financial statement: a) Statement of Cash Flow Using the information provided please prepare the above-required financial statement for year-ending Dec 31, 2024. Financial Statement - Support Cash A&W Trial Balance as at December 31, 2024 Account Description Accounts receivable Prepaid - Power Investments PP&E Computer equipment Accumulated depreciation - PP&E - Computer equipment Accounts payable Salaries payable Bank loan Common shares Retained earnings - Jan 1, 2024 Dividends paid Sales Interest income Dividend income Capital gain on the sale of an asset Debit Credit Notes 543 - 500 - (1) 80 - (2) 30 - (3) 4,000 - 500 - 3,200 200 80 - (4) 500 (5) 100 1,350 4,500 10 5 - Cost of goods sold - Food 1,700 - Repairs and maintenance 140 - Salaries and wages 1,350 - Administrative and interest expenses 50 Depreciation expense 900 - Travel expense Income taxes 90 70 - 8 9,953 9,953 Notes (1) A&W does catering and allows those customers to pay on account. (2) A&W prepays for its power bills as they receive a discount when paying in advance. (3) The investments will be held till 2038. During 2024 the business sold some investments for $5 and received the proceeds in cash. The investments sold had a cost of ????? (4) A&W didn't pay its employees there Dec payrol till the first week of January 2025. (5) The loan will be paid back in full by the end of 2032, with $160 of the principle being paid back in 2025. (6) A&W carries no inventory. The food supplier that provides A&W with food owns the food, till it is sold by A&W to customers. A&W pays a higher price for the food they get from the supplier, but does not have to take on the risk of having inventory. Jan 1, 2024 balances relevant to the "Statement of Cash Flow": Cash Accounts receivable Prepaid - Power Investments Accounts payable Salaries payable Other 2024 events Dr. Cr. 43 - 600 110 - 35 300 110 (a) During 2024 the business sold some equipment for $30 and received the proceeds in cash. The equipment had a NBV of $22. (b) The business issued $10 of new shares during 2024. (c) During 2024 the business paid $160 to reduce its loan balance. Task #3 - Financial Statements: A&W Inc. currently wants to increase their bank financing and in order to do so they are being required by the bank to provide more accurate financial statements. The bank is requiring that A&W Inc. prepare the following financial statement: a) Statement of Cash Flow Using the information provided please prepare the above-required financial statement for year-ending Dec 31, 2024. Financial Statement - Support Cash A&W Trial Balance as at December 31, 2024 Account Description Accounts receivable Prepaid - Power Investments PP&E Computer equipment Accumulated depreciation - PP&E - Computer equipment Accounts payable Salaries payable Bank loan Common shares Retained earnings - Jan 1, 2024 Dividends paid Sales Interest income Dividend income Capital gain on the sale of an asset Debit Credit Notes 543 - 500 - (1) 80 - (2) 30 - (3) 4,000 - 500 - 3,200 200 80 - (4) 500 (5) 100 1,350 4,500 10 5 - Cost of goods sold - Food 1,700 - Repairs and maintenance 140 - Salaries and wages 1,350 - Administrative and interest expenses 50 Depreciation expense 900 - Travel expense Income taxes 90 70 - 8 9,953 9,953 Notes (1) A&W does catering and allows those customers to pay on account. (2) A&W prepays for its power bills as they receive a discount when paying in advance. (3) The investments will be held till 2038. During 2024 the business sold some investments for $5 and received the proceeds in cash. The investments sold had a cost of ????? (4) A&W didn't pay its employees there Dec payrol till the first week of January 2025. (5) The loan will be paid back in full by the end of 2032, with $160 of the principle being paid back in 2025. (6) A&W carries no inventory. The food supplier that provides A&W with food owns the food, till it is sold by A&W to customers. A&W pays a higher price for the food they get from the supplier, but does not have to take on the risk of having inventory. Jan 1, 2024 balances relevant to the "Statement of Cash Flow": Cash Accounts receivable Prepaid - Power Investments Accounts payable Salaries payable Other 2024 events Dr. Cr. 43 - 600 110 - 35 300 110 (a) During 2024 the business sold some equipment for $30 and received the proceeds in cash. The equipment had a NBV of $22. (b) The business issued $10 of new shares during 2024. (c) During 2024 the business paid $160 to reduce its loan balance.