analyze and discuss the statement of cash flows prepared in part 2a giving specail attention to the wisdom of the cash dividen payments
Prior You 582.500 235,000 297,500 Hrown COMPANY Income Statement For Client Year Ended December Sales Cast of goods sold Gross profit Operating expenses (excluding depreciation Depreciations expose Other pains (losses Loss on sale of equipment Incone before taxes Income are expense Net income Bir COMPANY Comparative Balance Sheets At December 31 Carent Year Assets Cal 19.00 Accounts Receivable 65,810 Inventory 275,656 Prepaid expenses 1.250 Total Currentes 392.516 Equipment 157.500 Accum. Depreciation-iquipment -36,625 Total Assets 513391 132.400 20,7501 153,150 73.500 50,625 251,800 1.175 377.800 105,000 46,000 419 NOD -5.125 139.225 24,250 114.975 Liabilities and Equity Accounts payable Long-term notes payable Total liabilities 51,141 75,000 121.141 114,675 54250 109,435 Additional Information on Current-Year Transactions The look on the cash sale of equipment was 55,125 (details in Sold equipment contine $46,875, with accumulated depreciation of $20,125, for $11,625 cash 6. Purchased equipement costing $96.375 by paying $30,000 cash and piping a long-term notos payable for the balance d. Paid $46,125 cash to reduce the long-term soles payable Id 2.500 shares of common stock for $20 cash per share Declared and paid cah dividends of $50,100 162.750 150,250 Equity Common stock. 55 par value Paid-in capital in een of par, common stock Retained ning Total liabilities and equity 37.500 IS DOO 120,125 419,00 $11.191 Wote the questions dele. Show your work to wachqurdlow in the corresponding the whole veel wurdboende your name in the Nighlight coll on wc with your fri. thix Excel werkhoud using the following naming conto Excel Project Case Lawym Filial wrw and presentation of your work contribute towards your prude or the couple werkhoud wie Canvas by 11:59 pm on 7/38/21. Prepare a cash flow worksheet to aid in the preparation of the statement of cash flows using the indirect method. (25 pts.) Refer to the information reported about Brown Company above and the following list of transactions and events Identify the debits and credits in the Analysis of Changes columns with letters that correspond to the following list of transactions and events .. Net income was $114.975. Sold equipment costing 546.875, with cumulated depreciation of $30.125. for $11.625 cash. This yielded a loss of 85.125 Accounts receivable increased h. Purchased equipment costing 596.375 by paying $10,000 cash and c. Inventory increased by signing a long-term nefes payable for the balance d. Prepaid expenses dread J. Paid S125 cash to reduce the long-term notus payable e. Accounts payable decreased kleed 2.500 shares of common stock for $20 cash per share. r. Depreciation expense wat $20.750 1. Declared and paid cash dividends of $50,100. Prepare a complete statement of cash flows using the indirect method for the current year. Disclose any noncash investing and financing activities in a note (15 p.) Analyze and discuss the statement of cash flow prepared in part 2, giving special attention to the wisdom of the cash dividend payment. (5 pts.) Prepare a complete statement of cash flows using the direct method. Disclose any noncash investing and financing activities in a note (15 pts.)
