Question
13 The balance sheet data of Sheridan Company at the end of 2021 and 2020 follow: 2020 2021 Cash $ 100000 $ 142000 Accounts receivable
13 The balance sheet data of Sheridan Company at the end of 2021 and 2020 follow: 2020 2021 Cash $ 100000 $ 142000 Accounts receivable (net) 239000 181000 Inventory 278000 179000 Prepaid expenses 39000 101000 Buildings and equipment 362000 298000 Accumulated depreciation-buildings and equipment (73000) (30000) Land 360000 Totals $1305000 Accounts payable $271000 161000 $1032000 $220000 Accrued expenses 47000 71000 Notes payable-bank, long-term 168000 Mortgage payable 120000 Common stock, $10 par 834000 635000 Retained earnings (deficit) 33000 $1305000 (62000) $1032000 Land was acquired for $199000 in exchange for common stock, par $199000, during the year; all equipment purchased was for cash. Equipment costing $24000 was sold for $6000; book value of the equipment was $18000 and the loss was reported as an ordinary item in net income. Cash dividends of $29000 were charged to retained earnings and paid during the year; the transfer of net income to retained earnings was the only other entry in the Retained Earnings account. In the statement of cash flows for the year ended December 31, 2021, for Sheridan Company: The net cash provided by operating activities was $105000. $117000. $124000. $93000
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