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ABX Ltd., Comparative Balance Sheet, December 31, 2021 2021 2020 Cash $ 43,000 $ 24,000 Accounts receivable, net 35,000 38,000 Inventory 114,000 82,000 Land 120,000

ABX Ltd., Comparative Balance Sheet, December 31, 2021

2021 2020

Cash $ 43,000 $ 24,000

Accounts receivable, net 35,000 38,000

Inventory 114,000 82,000

Land 120,000 190,000

Building 200,000 200,000

Accumulated amortization (50,000) (40,000)

Equipment 1,030,000 600,000

Accumulated amortization (118,000) (94,000)

$1,374,000 $1,000,000

Accounts payable $ 115,000 $ 100,000

Bonds payable 320,000 -0-

Common shares 750,000 750,000

Retained earnings 189,000 150,000

$1,374,000 $1,000,000

Additional 2021 data:

  • Net income for the year was $84,000.
  • Cash dividends paid amounted to $45,000.
  • Land was sold for cash proceeds of $80,000.
  • Equipment was sold for $70,000 (original cost $150,000dr; accumulated amortization of $60,000cr).

Prepare ABXs Statement of Cash Flows for 2021 using the Indirect Method.

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