8. Prepare a Cash flow statement for crosby corporation CROSBY CORPORATION Income Statement For the Year Ended December 31, 20X2 Sales......... Cost of goods sold. Gross profit ...... Selling and administrative expense.. Depreciation expense....... Operating income Interest expense........ Earnings before taxes Taxes ..... Earnings after taxes Preferred stock dividends ..... Earnings available to common stockholders ... Shares outstanding Earnings per share .... $2,200,000 1,300,000 $ 900,000 420,000 150,000 $ 330,000 90,000 $ 240,000 80,000 $ 160,000 10,000 $ 150,000 120,000 $ 1.25 Statement of Retained Earnings For the Year Ended December 31, 20X2 Retained earnings, balance, January 1, 20X2. Add: Earnings available to common stockholders, 20X2..... Deduct: Cash dividends declared and paid in 20X2 Retained earnings, balance, December 31, 20X2. $500,000 150,000 50,000 $600,000 Comparative Balance Sheets For 20X1 and 20X2 Year-End 20X1 Year-End 20X2 Assets Current assets: Cash. Accounts receivable (net). Inventory....... Prepaid expenses.... Total current assets.. Investments (long-term securities). Plant and equipment... Less: Accumulated depreciation Net plant and equipment.......... Total assets.. $ 70,000 300,000 410,000 50,000 $ 830,000 80,000 2,000,000 1,000,000 $1,000,000 $1,910,000 $ 100,000 350,000 430,000 30,000 $ 910,000 70,000 2,400,000 1,150,000 $1,250,000 $2,230,000 $ 250,000 400,000 70,000 $ 720,000 $ 440,000 400,000 50,000 $ 890,000 Liabilities and Stockholders' Equity Current liabilities: Accounts payable. Notes payable....... Accrued expenses Total current liabilities. Long-term liabilities: Bonds payable, 20x2. Total liabilities Stockholders' equity: Preferred stock, $100 par value. Common stock, $1 par value... Capital paid in excess of par Retained earnings........... Total stockholders' equity. Total liabilities and stockholders' equity.. 70,000 $ 790,000 120,000 $1,010,000 $ 90,000 120,000 410,000 500,000 $1,120,000 $1,910,000 $ 90,000 120,000 410,000 600,000 $1,220,000 $2,230,000