Question
Buffalo Inc. had the balance sheet shown below at December 31, 2024. BUFFALO INC. BALANCE SHEET DECEMBER 31, 2024 Cash $32,800 Accounts payable $62,800
Buffalo Inc. had the balance sheet shown below at December 31, 2024. BUFFALO INC. BALANCE SHEET DECEMBER 31, 2024 Cash $32,800 Accounts payable $62,800 Accounts receivable 58,600 Notes payable (long-term) 77,800 Investments 87,800 Common stock 201,800 Plant assets (net) 138,500 Retained earnings 43,100 Land 67,800 $385,500 $385,500 During 2025, the following occurred: 1. Buffalo Inc. sold part of its investment portfolio for $20,300. This transaction resulted in a loss of $2,400 for the firm. The company classifies its investments as available-for-sale. 2. A tract of land was purchased for $26,800 cash. -7100 3. Long-term notes payable in the amount of $30,300 were retired before maturity by paying $30,300 cash. 4. An additional $43,300 in common stock was issued at par. 5. Dividends of $20,300 were declared and paid to stockholders. 9 6. Net income for 2025 was $22.800 after allowing for depreciation of $9,300. 7. Land was purchased through the issuance of $62,800 in bonds payable. 8. At December 31, 2025, Cash was $48,500, Accounts Receivable was $63,600, and Accounts Payable remained at $62,800. (a) Prepare a statement of cash flows for 2025. (Show amounts that decrease cash flow with either a-sign eg.-15,000 or in parenthesis es (15,000).) BUFFALO INC. Statement of Cash Flows For the Year Ended December 31, 2025
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