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2018 Prepare a statement of cash flow on both direct and indirect method 2019 Assets: Cash 215,000 Accounts receivable, net 87,000 Inventory 74,000 Prepaid expenses
2018 Prepare a statement of cash flow on both direct and indirect method 2019 Assets: Cash 215,000 Accounts receivable, net 87,000 Inventory 74,000 Prepaid expenses 12,000 Property, Balot & equipment 780,000 Accumulated depreciation (110,000) Total Assets 1,058,000 100,000 65,000 65,000 600,000 (60,000) 790,000 40,000 40,000 4,000 Liabilities & Equity Accounts payable Accrued liabilities Taxes payable Long-term Notes Payable Common stock Additional paid in capital Paid in capital - stock options Retained earnings Total liabilities and equity 32,000 26,000 15,000 100,000 200,000 276,000 50,000 359,000 1,058,000 200,000 276,000 230,000 790,000 Sales Cost of goods sold Gross profit 1,400,000 780,000 620,000 Pre-tax income Income taxes Net income 290,000 330,000 66,000 264,000 a. Stock option expense of $50,000 was recognized in 2019 b. Equipment of $180,000 was purchased using $100,000 note payable and cash
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