Your STUDENT NAME Company
Comparative Balance Sheets
At December 31,
	Year 2			Year 1
Assets
Current Assets
Cash		$  60,000			$  71,500
Investment		30,000			55,000
Accounts receivable	$152,000			$136,000
Less Allowance for uncollectible accounts	6,000	146,000		3,000	133,000
Inventory		118,000			84,000
Total Current Assets		$354,000			$343,500
Property, Plant, & Equipment
Land		$  50,000			$  15,000
Buildings	$160,000			$160,000
Less Accumulated depreciation on Buildings	40,000	120,000		32,000	128,000
Equipment	60,000			41,500
Less Accumulated depreciation: Equipment	24,000	36,000		18,500	23,000
Total Property, Plant, & Equipment		206,000			166,000
Total Assets		$560,000			$509,500
Liabilities & Stockholder's Equity
Liabilities
Accounts payable	$102,000			$   95,000
Income taxes payable	13,000			8,000
Long term notes payable	65,000			80,000
Total liabilities		$180,000			$183,000
Stockholder's Equity
Common stock	$295,000			$236,500
Retained earnings	85,000			90,000
Total Stockholder's Equity		$380,000			$326,500
Total Liabilities & Stockholder's Equity		$560,000			$509,500

Your STUDENT NAME Company
Income Statement
For the year ending Dec. 31, Year 2
Sales		$750,000
Less: Cost of Goods Sold		480,000
Gross profit		270,000
Operating Expenses		145,000
Income from Operations		125,000
Other Revenue & Expenses
Gain on sale of investments	$  7,000
Loss on sale of equipment	(4,000)	3,000
Income before taxes		128,000
Income tax expense		52,000
Net Income		$   76,000

1) Use the Comparative Balance Sheets & the Income Statement along with the additional information below to prepare a Statement of Cash Flows using the Direct Method. Place your answer on the Direct Method tab of this spreadsheet. 2) Use the Comparative Balance Sheets & the Income Statement along with the additional information below to prepare a Statement of Cash Flows using the Indirect Method. Place your answer on the Indirect Method tab of this spreadsheet. 3) Use the Excel formula function for all computations.