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Any help would be much appreciated! Thank you Required information Skip to question [The following information applies to the questions displayed below.] Forten Company's current
Any help would be much appreciated! Thank you Required information Skip to question [The following information applies to the questions displayed below.] Forten Company'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, and (4) all debits to Accounts Payable reflect cash payments for inventory. FORTEN COMPANY Income Statement For Current Year Ended December 31 Sales $ 622,500 Cost of goods sold 293,000 Gross profit 329,500 Operating expenses (excluding depreciation) $ 140,400 Depreciation expense 28,750 169,150 Other gains (losses) Loss on sale of equipment (13,125) Income before taxes 147,225 Income taxes expense 35,450 Net income $ 111,775 FORTEN COMPANY Comparative Balance Sheets December 31 Current Year Prior Year Assets Cash $ 61,900 $ 81,500 Accounts receivable 77,850 58,625 Inventory 287,656 259,800 Prepaid expenses 1,290 2,055 Total current assets 428,696 401,980 Equipment 149,500 116,000 Accumulated depreciationEquipment (40,625) (50,000) Total assets $ 537,571 $ 467,980 Liabilities and Equity Accounts payable $ 61,141 $ 126,675 Long-term notes payable 73,400 64,350 Total liabilities 134,541 191,025 Equity Common stock, $5 par value 174,750 158,250 Paid-in capital in excess of par, common stock 49,500 0 Retained earnings 178,780 118,705 Total liabilities and equity $ 537,571 $ 467,980 Additional Information on Current Year Transactions The loss on the cash sale of equipment was $13,125 (details in b). Sold equipment costing $70,875, with accumulated depreciation of $38,125, for $19,625 cash. Purchased equipment costing $104,375 by paying $46,000 cash and signing a long-term notes payable for the balance. Paid $49,325 cash to reduce the long-term notes payable. Issued 3,300 shares of common stock for $20 cash per share. Declared and paid cash dividends of $51,700. Required: Prepare a complete statement of cash flows using a spreadsheet using the indirect method. (Enter all amounts as positive values.) PrevQuestion 3 of 5 Total
Additional Information on Current Year Transactions a. The loss on the cash sale of equipment was $13,125 (details in b ). b. Sold equipment costing $70,875, with accumulated depreciation of $38,125, for $19,625 cash. c. Purchased equipment costing $104,375 by paying $46,000 cash and signing a long-term notes payable for the balance. d. Paid $49,325 cash to reduce the long-term notes payable. e. Issued 3,300 shares of common stock for $20 cash per share. f. Declared and paid cash dividends of $51,700. Additional Information on Current Year Transactions Forten Company'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, and (4) all debits to Accounts Payable reflect cash payments for inventoryStep by Step Solution
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