Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

41 Comparative statements of financial position for University Inc. appear below: University INC. Comparative Statements of Financial Position Assets Dec. 31, 2022, Dec. 31, 2021

41 Comparative statements of financial position for University Inc. appear below:

University INC.

Comparative Statements of Financial Position

Assets

Dec. 31, 2022, Dec. 31, 2021

Cash..................................................................................... $ 29,000 $10,000

Accounts receivable............................................................. 28,000 19,000

Prepaid expenses................................................................ 9,000 12,000

Inventory............................................................................... 37,000 54,000

Long-term investments........................................................ 0 53,000

Equipment............................................................................ 110,000 48,000

Accumulated depreciationequipment............................... (26,000) (22,000)

Total assets................................................................... $187,000 $174,000

Liabilities and Shareholders' Equity

Accounts payable................................................................. $ 21,000 $ 9,000

Mortgage payable................................................................ 37,000 45,000

Common shares................................................................... 40,000 23,000

Retained earnings................................................................ 89,000 97,000

Total liabilities and shareholders' equity....................... $187,000 $174,000

Additional information regarding fiscal 2022:

1. Net income for the year was $27,000.

2. Cash dividends of $35,000 were declared and paid during the year.

3. Long-term investments with a carrying amount of $53,000 were sold for $48,000 cash.

Instructions: Using the indirect method, prepare a statement of cash flows for the year ended December 31, 2022.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Horngrens Accounting

Authors: Tracie Miller Nobles, Brenda Mattison

13th Edition

0135982235, 9780135982235

More Books

Students also viewed these Accounting questions

Question

What is a process and process table?

Answered: 1 week ago

Question

What is Industrial Economics and Theory of Firm?

Answered: 1 week ago

Question

What is the meaning and definition of E-Business?

Answered: 1 week ago