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1 Prepare the statement of cash flows using the indirect method using the financial information below for Advent Healthcare Hospitals: 31-Dec 2020 2019 4 Cash
1 Prepare the statement of cash flows using the indirect method using the financial information below for Advent Healthcare Hospitals: 31-Dec 2020 2019 4 Cash 19,550 41,250 (21,700) 5 A/R - trade 24,000 22,150 1,850 6 Allowance for doubtful accounts - trade (3,225) (1,000) (2,225) 7 Federal Government grants receivable 45,000 45,000 8 Inventory 1,000 3,000 (2.000) 9 Equity investments 7,500 3,500 4,000 10 Buildings 58,150 28,150 30,000 11 Accumulated depreciation - buildings (9,550) (8,250) (1.300) 12 Equipment 15,000 12,8802.120 13 Accumulated depreciation - equipment (800) (1,000) 200 14 Patent 9,500 10,000 (500) 15 Totals 166,125 110,680 12,000 1,000 20,000 18 Accounts Payable 19 Utilities Payable 20 Accrued Liabilities 21 CMS litigation settlement 22 Long-term notes payable 3 Common stock 24 Preferred stock 5 Retained earnings 10,000 5,000 15,000 25,000 25,000 15,000 2,000 (4,000) 5,000 (25,000) 49.000 15,000 1,000 12.445 74,000 30,000 1,000 28,125 166,125 15,680 110,680 16 18 Additional data related to 2020 are as follows: 91) $1,000 worth of Equity investments were sold during the year for an $800 loss 30 2) The Federal Government Grant receivable is for researching an exploratory surgery. The cash will be received by 9/30/2021 11 3) No patents were purchased or created during 2020. 124) Assume Net Income for the year of $15,550 13 5) The CMS litigation settlement was for allegations of fraudulent billings in February 2019. This was paid on 1/13/2020 46) Equipment initially purchased for $1,000 and was 90% depreciated was retired on 1/1/2020 for $150 5 7) During the year, interest paid on outstanding debt totaled $5,500, and income taxes paid in cash were $4,250. 15 8) A building was purchased by issuing $1,000 in preferred stock and paying the balance in cash 179) Assume no investments were purchased during the year and Investments sold during the year for a net gain of $500 18 10) Retired $15,000 of the long term notes payable by issuing common stock
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