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Additional information: 1. 2. 3. Equipment costing $10,000 was purchased in exchange for a $10,000 note payable. Depreciation expense is included in operating expenses. Accounts
Additional information: 1. 2. 3. Equipment costing $10,000 was purchased in exchange for a $10,000 note payable. Depreciation expense is included in operating expenses. Accounts receivable are from the sale of merchandise on credit. 6. Accounts payable relate to the purchase of merchandise on credit. 4. Short-term notes receivable are loans to other companies. During the year, the company collected the balance outstanding at December 31, 2023, and made new loans in the amount of $14,000. 5. Equipment was sold during the year. This equipment cost $15,000 originally and had a carrying amount of $10,000 at the time of sale. Prepare a cash flow statement for the year using the indirect method. (Show amounts that decrease cash flow with either a-sign e.g. -15,000 or in parenthesis e.g. (15,000).)
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