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Assets 2022 Change Increase/Decrease 2021 Cash $123,900 $75,600 $48,300 Increase Accounts receivable 130,200 46,200 84,000 Increase Inventory 92,400 -O- 92,400 Increase Prepaid expenses 12,600 8,400
Assets 2022 Change Increase/Decrease 2021 Cash $123,900 $75,600 $48,300 Increase Accounts receivable 130,200 46,200 84,000 Increase Inventory 92,400 -O- 92,400 Increase Prepaid expenses 12,600 8,400 4,200 Increase Land 115,500 147,000 31,500 Decrease Buildings 420,000 420,000 -0- Accumulated depreciation-buildings (44,100) (29,400) 14,700 Increase Equipment 142,800 241,500 Increase 384,300 (58,800) Accumulated depreciation-equipment (21,000) 37,800 Increase Totals $1,176,000 $789,600 Liabilities and Stockholders' Equity Accounts payable $90,300 $84,000 $6,300 Increase Accrued expenses payable o 21,000 21,000 Decrease Bonds payable 210,000 315,000 105,000 Decrease Common stock ($1 par) 483,000 126,000 357,000 Increase Retained earnings 392,700 243,600 149,100 Increase Totals $1,176,000 $789,600 Vaughn Manufacturing Income Statement For the Year Ended December 31, 2022 Sales revenue $1,976,100 Cost of goods sold $997,500 Operating expenses 485,100 Interest expense 25,200 Loss on disposal of equipment 4,200 1,512,000 Income before income taxes 464,100 Income tax expense 136,500 Net income $327,600 Additional information: 1. Operating expenses include depreciation expense of $84,000. 2. Land was sold at its book value for cash. 3. Cash dividends of $178,500 were declared and paid in 2022. 4. Equipment with a cost of $348,600 was purchased for cash. Equipment with a cost of $107,100 and a book value of $75,600 was sold for $71,400 cash 5. Bonds of $105,000 were redeemed at their face value for cash. 6. Common stock ($1 par) of $357,000 was issued for cash. Use this information to prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a-sign eg. - 15,000 or in parenthesis es. (15,000).) Vaughn Manufacturing Statement of Cash Flows-Indirect Method Adjustments to reconcile net income to
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