11 TULE Name 9. Prepare a statement of cash flows for the (20 points) Additional Information a. A $30,000 note payable is retired at b. The only changes affecting retai Date flows for the year ended June 30, 2017, using the indirect method e. Prepaid Expenses and wage that had cost $48,600, yielding a $2,000 gain. able is retired at its $30.000 carrying (book) value in exchange for cash changes affecting retained eamings are net income and cash divu c. New equipment is acquired for $57,600 cash d. Received ca Received cash for the sale of equipment that had cost $48.600, yield paid Expenses and Wages Pavable relate to Other Expenses on the income state t. All purchases and sales of inventory are on credit. IKIBAN INC. Income Statement Year Ended June 30, 2017 Sales $678,000 Cost of goods sold 411,000 Gross profit 267,000 Operating expenses Depreciation expense $58,600 Other expenses 67.000 Total operating expenses 125,600 141,400 2,000 143,400 43.890 $ 99,510 2016 Other gains (losses) Gain on sale of equipment Income before taxes Income taxes expense Net income IKIBAN INC. Comparative Balance Sheets June 30, 2017 and 2016 2017 Assets Cash $ 87,500 Accounts receivable, net 65,000 Inventory 63,800 Prepaid expenses 4.400 Total current assets 220,700 Equipment 124,000 Accum. depreciation Equipment (27,000 Total assets $317,700 Liabilities and Equity Accounts payable $ 25,000 Wages payable 6,000 Income taxes payable 3.400 Total current liabilities 34,400 Notes payable (long term) 30.000 Total liabilities 64,400 Equity Common stock, S5 par value 220,000 Retained earnings 33,300 Total liabilities and equity $317,700 $ 44,000 51,000 86,500 5.400 186,900 115,000 (9,000) $292,900 $ 30,000 15,000 3,800 48,800 60,000 108,800 160,000 24,100 $292,900