Problem 12-10A | | Your answer is partially correct.Try again. | | | Condensed financial data of Odgers Inc. follow. | ODGERS INC. Comparative Balance Sheets December 31 | | Assets | 2014 | 2013 | | Cash | $172,104 | $103,092 | | Accounts receivable | 187,014 | 80,940 | | Inventory | 239,625 | 219,071 | | Prepaid expenses | 60,492 | 55,380 | | Long-term investments | 293,940 | 232,170 | | Plant assets | 607,050 | 516,525 | | Accumulated depreciation | (106,500 | ) | (110,760 | ) | | Total | $1,453,725 | | $1,096,418 | | | Liabilities and Stockholders Equity | | Accounts payable | $217,260 | $143,349 | | Accrued expenses payable | 35,145 | 44,730 | | Bonds payable | 234,300 | 310,980 | | Common stock | 468,600 | 372,750 | | Retained earnings | 498,420 | | 224,609 | | | Total | $1,453,725 | | $1,096,418 | | | ODGERS INC. Income Statement Data For the Year Ended December 31, 2014 | | Sales revenue | $827,420 | | Less: | | Cost of goods sold | $288,530 | | Operating expenses, excluding depreciation | 26,433 | | Depreciation expense | 99,045 | | Income taxes | 58,106 | | Interest expense | 10,075 | | Loss on disposal of plant assets | 15,975 | 498,164 | | Net income | $329,256 | Additional information: | 1. | New plant assets costing $213,000were purchased for cash during the year. | | 2. | Old plant assets having an original cost of $122,475and accumulated depreciation of $103,305were sold for $3,195cash. | | 3. | Bonds payable matured and were paid off at face value for cash. | | 4. | A cash dividend of $55,445was declared and paid during the year. | Further analysis reveals that accounts payable pertain to merchandise creditors. Prepare a statement of cash flows for Odgers Inc. using the direct method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) | ODGERS INC. Statement of Cash Flows For the Year Ended December 31, 2014 | | Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash used by Financing ActivitiesNet Cash used by Investing ActivitiesNet Cash used by Operating ActivitiesNet Decrease in CashNet Increase in CashEAT_1342614808683_0_9180296863143562_006 | | Redemption of BondsSale of Common StockCash Receipts from CustomersTo SuppliersFor Income TaxesFor Operating ExpensesFor InterestPayment of Cash DividendsSale of Plant AssetsPurchase of InvestmentsPurchase of Plant AssetsEAT_1342614808683_0_9180296863143562_016 | $ 531696 | | AddLessEAT_1342615306689_0_14769375819187802: Sale of Plant AssetsSale of Common StockFor Income TaxesCash PaymentsFor Operating ExpensesCash Receipts from CustomersFor InterestPurchase of InvestmentsPurchase of Plant AssetsPayment of Cash DividendsRedemption of BondsTo SuppliersEAT_1342615321220_0_18715713304495496 | | Purchase of Plant AssetsCash PaymentsPayment of Cash DividendsCash Receipts from CustomersFor InterestSale of Plant AssetsTo SuppliersRedemption of BondsPurchase of InvestmentsFor Income TaxesSale of Common StockFor Operating ExpensesEAT_1342614808683_0_9180296863143562_034 | $ -173343 | | For Income TaxesFor Operating ExpensesPayment of Cash DividendsCash Receipts from CustomersFor InterestSale of Plant AssetsPurchase of InvestmentsSale of Common StockRedemption of BondsPurchase of Plant AssetsCash PaymentsTo SuppliersEAT_1342614808683_0_9180296863143562_050 | -30317 | | Sale of Common StockPurchase of InvestmentsRedemption of BondsPurchase of Plant AssetsPayment of Cash DividendsCash PaymentsTo SuppliersFor InterestCash Receipts from CustomersFor Income TaxesSale of Plant AssetsFor Operating ExpensesEAT_1342614808683_0_9180296863143562_065 | -7426 | | Purchase of Plant AssetsTo SuppliersSale of Common StockFor Operating ExpensesSale of Plant AssetsPayment of Cash DividendsRedemption of BondsCash PaymentsPurchase of InvestmentsFor Income TaxesFor InterestCash Receipts from CustomersEAT_1342614808683_0_9180296863143562_077 | -42830 | | -253916 | | Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash used by Financing ActivitiesNet Cash used by Investing ActivitiesNet Cash used by Operating ActivitiesNet Decrease in CashNet Increase in CashEAT_1342614808683_0_9180296863143562_098 | 277780 | | Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash used by Financing ActivitiesNet Cash used by Investing ActivitiesNet Cash used by Operating ActivitiesNet Decrease in CashNet Increase in CashEAT_1342614808683_0_9180296863143562_110 | | Sale of Plant AssetsFor Income TaxesFor InterestSale of Common StockPurchase of InvestmentsTo SuppliersPurchase of Plant AssetsPayment of Cash DividendsRedemption of BondsCash Receipts from CustomersCash PaymentsFor Operating ExpensesEAT_1342614808683_0_9180296863143562_127 | -45530 | | Purchase of InvestmentsTo SuppliersSale of Plant AssetsCash PaymentsRedemption of BondsPurchase of Plant AssetsFor Income TaxesSale of Common StockCash Receipts from CustomersPayment of Cash DividendsFor Operating ExpensesFor InterestEAT_1342614808683_0_9180296863143562_142 | -157000 | | Payment of Cash DividendsFor Operating ExpensesFor InterestSale of Plant AssetsPurchase of InvestmentsPurchase of Plant AssetsSale of Common StockRedemption of BondsCash PaymentsCash Receipts from CustomersTo SuppliersFor Income TaxesEAT_1342614808683_0_9180296863143562_154 | 2355 | | Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash used by Financing ActivitiesNet Cash used by Investing ActivitiesNet Cash used by Operating ActivitiesNet Decrease in CashNet Increase in CashEAT_1342614808683_0_9180296863143562_172 | -200175 | | Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash used by Financing ActivitiesNet Cash used by Investing ActivitiesNet Cash used by Operating ActivitiesNet Decrease in CashNet Increase in CashEAT_1342614808683_0_9180296863143562_184 | | Cash Receipts from CustomersFor Income TaxesTo SuppliersFor InterestSale of Plant AssetsRedemption of BondsCash PaymentsPurchase of InvestmentsFor Operating ExpensesPayment of Cash DividendsSale of Common StockPurchase of Plant AssetsEAT_1342614808683_0_9180296863143562_201 | 70650 | | For Income TaxesFor InterestSale of Common StockFor Operating ExpensesCash PaymentsSale of Plant AssetsPurchase of InvestmentsPurchase of Plant AssetsPayment of Cash DividendsTo SuppliersCash Receipts from CustomersRedemption of BondsEAT_1342614808683_0_9180296863143562_216 | -40867 | | Cash Receipts from CustomersFor Operating ExpensesSale of Common StockPurchase of InvestmentsCash PaymentsTo SuppliersPayment of Cash DividendsPurchase of Plant AssetsFor InterestSale of Plant AssetsFor Income TaxesRedemption of BondsEAT_1342614808683_0_9180296863143562_231 | -56520 | | Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash used by Financing ActivitiesNet Cash used by Investing ActivitiesNet Cash used by Operating ActivitiesNet Decrease in CashNet Increase in CashEAT_1342614808683_0_9180296863143562_243 | -26737 | | Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash used by Financing ActivitiesNet Cash used by Investing ActivitiesNet Cash used by Operating ActivitiesNet Decrease in CashNet Increase in CashEAT_1342614808683_0_9180296863143562_263 | 50868 | | Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash used by Financing ActivitiesNet Cash used by Investing ActivitiesNet Cash used by Operating ActivitiesNet Decrease in CashNet Increase in CashEAT_1342614808683_0_9180296863143562_267 | 75988 | | Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash used by Financing ActivitiesNet Cash used by Investing ActivitiesNet Cash used by Operating ActivitiesNet Decrease in CashNet Increase in CashEAT_1342614808683_0_9180296863143562_284 | |
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