(Appendix 11B) Using a Spreadsheet to Prepare a Statement of Cash}

\section*{Flows}

Comparative statements of financial position for Vancouver Health Club are presented below.

\section*{Required:}
Using a spreadsheet, prepare a statement of cash flows for 2018. Assume Vancouver Health Club uses the indirect method.

Problem

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ASSETS Vancouver Health Club Statements of Financial Position December 31, 2018 and 2017 2018 $ 5,300 10,500 19,800 35,600 $490,000 $490,000 280,000 770,000 270,000 760,000 2017 $ 9,200 8,900 18,600 36,700 Additional Information: 1. Vancouver Health Club reported net income of $2,700 for 2018. 2. No buildings nor equipment was sold during 2018. Equip- ment was purchased for $10,000 cash. 3. Depreciation expense for 2018 was $28,000. 4. Bonds payable of $50,000 were issued for cash during 2018. 5. Common shares were issued for $30,000 during 2018. 6. Cash dividends of $10,000 were declared and paid during 2018. Current assets: Cash Accounts receivable Inventory Total current assets Property, plant, and equipment Building Equipment Accumulated depreciation Net property, plant, and equipment Total assets LIABILITIES AND EQUITY (148,000) 622,000 $657,600 (120,000) 640,000 $676,700 Current liabilities: Accounts payable Salaries payable $ 55,300 Income tax payable Total current liabilities Long-term viabilities: Bonds payable 9,500 1,100 $ 36,100 11,700 9,900 $ 65,900 $ 57,700 Total liabilitios 350,000 415,900 400,000 157,700 Equity: Common shares 180,000 150,000 Retained eamings 61,700 69,000 Total equity 241,700 219,000 Total liabilities and equity $657,600 $676,700