Shown below are comparative balance sheets for Schmitt Company.
SCHMITT COMPANYComparative Balance SheetsDecember 31

Additional information:
1. Net income for 2014 was $222,270.
2. Depreciation expense was $81,260.
3. Cash dividends of $93,210 were declared and paid.
4. Bonds payable amounting to $119,500 were redeemed for cash $119,500.
5. Common stock was issued for $100,380 cash.
6. No equipment was sold during 2014.
7. Land was sold for its book value.
Prepare a statement of cash flows for 2014 using the indirect method.

Transcribed Image Text:

Assets 2014 2013 $ 162,520 $ 52,580 Cash Accounts receivable 210,320 181,640 399,130 Inventory 451,710 Land 191,200 239,000 Equipment 621,400 478,000 (157,740 Accumulated depreciation (76,480 -equipment S1,426,830 $1,326,450 Total Liabilities and Stockholders' Equity $ 9,210 S 102,770 Accounts payable Bonds payable 478,000 358,500 Common stock ($1 par) 516,240 415,860 Retained earnings 458,880 329,820 $1,426,830 $1,326,450 Total