Refer to the information for Heinz Company in P21-8.

Required:
Using the direct method for operating cash flows, prepare a spreadsheet to support a 2019 statement of cash flows.

P21-8

Heinz Company’s post-closing trial balance as of December 31, 2018, and the adjusted trial balance as of December 31, 2019, are shown here:

A review of the accounting records reveals the following additional information:
a. Bonds payable with a face value, book value, and market value of $14,000 were retired on June 30, 2019.
b. Bonds payable with a face value of $8,000 were issued at 90.25 on August 1, 2019. They mature on August 1, 2024. The company uses the straight-line method to amortize the bond discount.
c. The company sold a building that had an original cost of $8,000 and a book value of $4,800. The company received $2,200 in cash for the building and recorded a loss of $2,600.
d. Equipment with a cost of $4,000 and a book value of $1,400 was exchanged for an acre of land valued at $2,700. No cash was exchanged.
e. Long-term investments in bonds being held to maturity with a cost of $1,000 were sold for $800.
f. Sixty-five shares of common stock were exchanged for a patent. The common stock was selling for $20 per share at the time of the exchange.

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December 31, 2018 Post-Closing Trial Balance $ 2,700 5,900 15,300 1,400 8,300 16,300 68,700 December 31, 2019 Adjusted Trial Balance $ 3,520 6,215 15,530 1,000 7,300 19,000 60,700 Cash Accounts Receivable Inventories Prepaid Items Investments in Bonds (long-term) Land Buildings Accumulated Depreciation: Buildings Equipment Accumulated Depreciation: Equipment Patents (net) Accounts Payable Interest Payable Wages Payable Bonds Payable Discount on Bonds Payable Common Stock, $ 10 par Additional Paid-in Capital Retained Earnings $ 35,000 $ 34,500 29,600 25,600 14,200 14,700 8,700 9,185 9,195 8,900 630 300 2,500 23,000 2,600 17,000 715 22,000 ,320 35,350 $156,900 22,650 15,970 35,350 $156,900 Sales (net) Cost of Goods Sold 49,550 23,800 16,510 1,100 2,700 Wages Expense Other Operating Expenses Depreciation Expense: Buildings Depreciation Expense: Equipment Patent Amortization 3,100 815 1,715 200 Interest Expense Loss (Ordinary) on Sale of Investments Interest Revenue 790 Gain (Ordinary) on Exchange of Assets 1,300 Income Tax Expense Ordinary Loss on Sale of Building Dividends Declared Totals 500 2,600 2,100 $203,905 $203,905