Additional Information on Current Year Transactions a. Purchased equipment for $56,300 cash. b. Issued 13,200 shares of common stock for $5 cash per share. c. Declared and paid $101,000 in cash dividends. Required: Prepare a complete statement of cash flows using the direct method for the current year. (Amounts to be deducted should be Indicated with a minus sign.) Golden Corporation's current year income statement, comparative balance sheets, and additional information follow. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. GOLDEN CORPORATION Comparative Balance Sheets December 31 Current Year Prior Year Assets Cash $ 176,000 $ 120,200 Accounts receivable 101,000 83,000 Inventory 619,000 538,000 Total current assets 896,000 741,200 Equipment 367,300 311,000 Accumulated depreciation-Equipment (164,000) (110,000) Total assets $ 1,099,300 $ 942,200 Liabilities and Equity Accounts payable $ 111,000 $ 83,000 Income taxes payable 40,000 31, 100 Total current liabilities 151,000 114,100 Equity Common stock, 52 par value 606, 400 580,000 Paid-in capital in excess of par value, common stock 217,600 178,000 Retained earning 124,300 70, 100 Totol liabilities and equity $ 1,099, 300 5942,200 GOLDEN CORPORATION Income Statement For Current Year Ended December 31 Sales cost of goods sold Groos profit Operating expenses (excluding depreciation) Depreciation expense Income before taxe Income taxes expense Net Income $ 1,852,000 1.098.000 754,000 506,000 54,000 194,000 30.000 $ 155,200 Saved Statement of Cash Flow $ 1.099, 300 $ 942,200 Total liabilities and equity GOLDEN CORPORATION Income Statement For Current Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses (excluding depreciation) Depreciation expense Income before taxes Income taxes expense Net income $ 1,852,000 1,098,000 754,000 506,000 54,000 194,000 38,800 $ 155,200 Additional Information on Current Year Transactions a. Purchased equipment for $56,300 cash b. Issued 13,200 shares of common stock for $5 cash per share. c. Declared and paid $101,000 in cash dividends. Required: Prepare a complete statement of cash flows uing the direct method for the current year. (Amounts to be deducted should be indicated with a minus sign.) Required: Prepare a complete statement of cash flows using the direct method for the current year. (Amounts to be deducted should be Indicated with a minus sign.) 0 26.44 GOLDEN CORPORATION Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Net income $ Increase in accounts receivable Increase in inventory Increase in accounts payable Increase in income taxes payable Net cash provided by operating activities Cash flows from investing activities Cash paid for equipment 155,200 (18,000) (81,000) 28,000 8,900 $ $ 93,100 (56,300) (56,300) Net cash used in investing activities Cash flows from financing activities Cash rocolved from issuing stock Cash paid for dividends 66,000 (101.000) (35,000) Net cash used in financing activities Net Increase (decreaso) in cash Cash balance at December 31, prior year Cash balance at December 31, current var $ 1.800 120.200 in AAA