Here are comparative statements of financial position for Syal SE.

Additional information:
1. Net income for 2025 was €103,000.
2. Depreciation expense was €32,000.
3. Cash dividends of €45,000 were declared and paid.
4. Bonds payable amounting to €50,000 were redeemed for cash €50,000.
5. Ordinary shares were issued for €42,000 cash.
6. No equipment was sold during 2025.
7. Land was sold for its book value of €27,000.
Instructions Prepare a statement of cash flows for 2025 using the indirect method.
Prepare statement of cash flows and compute free cash flow.

Transcribed Image Text:

Assets Syal SE Comparative Statements of Financial Position December 31 2025 2024 Land Equipment Accumulated depreciation-equipment Inventory Accounts receivable Cash Total 73,000 100,000 260,000 200,000 (66,000) (34,000) 170,000 187,000 85,000 71,000 73,000 33,000 595,000 557,000 Equity and Liabilities Share capital-ordinary (1 par) 216,000 174,000 Retained earnings 194,000 136,000 Bonds payable 150,000 200,000 Accounts payable Total 35,000 47,000 595,000 557,000