From the following income statement (Figure 21.14), balance sheet (Figure 21.15), and additional data for Cygan Company, prepare a statement of cash flows using the indirect method.
Additional Data
1. All Plant and Equipment were purchased with cash.
2. Sold additional 3,000 shares of stock for cash at par.
3. A $1,200 dividend was declared and paid.
4. Short-term notes used to finance inventory
Figure 21.14

Figure 21.15

Transcribed Image Text:

CYGAN COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2014 96 9 00 oo Cost of Goods Sold Gross Profit $28 0 00oo Ope rating Expenses: Rent Expense De preciation Expense Salary Expense Miscellaneous Expense $7 60000 66000 6900 335000 Total Operating Expenses Net Income CYGAN COMPANY BALANCE SHEET DECEMBER 31, 2014 Assets 2014 2013 Current Assets: Cash Accounts Receivable, Net Merchandise Inventory Prepaid Rent 00$240000 00 410000 00 211010100 115000 00$975000 Total Current Assets lant and Equipment Store Equipment Accum. Dep., Store Equipment 00 $48 00000 (1161010100 $ 43 (5101010100) Total Plant and Equipment 00 $43 00000 00 $52 75000 Total Assets Lia bilities Current Liabilities: Notes Payable-Short Tem Accounts Payable Total Curre nt Liabilities 00$995000 Long-Tem Liabilities: Bonds Payable 00 S 22 00000 00 S 3195000 Total Liabilities 14 Stockholders' Equity Common Stock, $6 par Retained Eamings 00 $ 20 50000 Total Stockholders' Equity Total Liabilities and Stockholders' Equity 1 5 000 $ 20 800 00 IS 52 $ 41 5|0|00