Cash Accounts receivable Inventory Prepaid insurance Plant assets Accumulated depreciation Patent 2013 $ 287.000 149,000 150,000 18.000 1,280,000 (450,000) 153,000 S1,587.000 2012 $1153.000 117.000 180,000 27,000 1,050,000 (375,000) 174.000 $1.326.000 Increase Decrease 134,000 32.000 (30,000) (9,000) 230,000 (75,000) (21.000) 3 133.000 60,000 S 168,000 42.000 450,000 Accounts payable Other current liabilities Mortgage payable Preferred stock Additional paid-in capital-preferred Common stock Retained earnings (15,000) 18,000 (450,000) $25,000 120,000 525.000 120,000 600,000 129.000 $1.587.000 600,000 66,000 31.126.000 63.000 1. The change in plant assets is only related to the purchase of plant assets with cash in 2013, 2. Hartman issued preferred stock in 2013 to supplement its cash. 3. Hartman paid off its mertgage payable in 2013, 4. The change in accumulated depreciation is only related to depreciation expense in 2013 5. Hartman paid dividends payment of S158,000 for the year. 6. All sales during the year were made on account. 7. All inventories were purchased on account, comprising the total accounts payable account. 3. Operating expenses shown below on the income statement include depreciation expense, patent amortization expense, insurance expense related to prepaid insurance, and other operating expenses. Other operating expenses were accrued to other current liabilities. The income statement for 2013 is as follows: Sales $1,980,000 Cost of Goods Sold 1.089.000 1. The change in plant assets is only related to the purchase of plant assets with cash in 2013 2. Hartman issued preferred stock in 2013 to supplement its cash. 3. Hartman paid off its mortgage payable in 2013. 4. The change in accumulated depreciation is only related to depreciation expense in 2013 5. Hartman paid dividends payment of S158,000 for the year. 6. All sales during the year were made on account 7. All inventories were purchased on account, comprising the total accounts payable account 8. Operating expenses shown below on the income statement include depreciation expense, patent amortization expense, insurance expense related to prepaid insurance, and other operating expenses. Other operating expenses were accrued to other current liabilities The income statement for 2013 is as follows: Sales $1.980.000 Cost of Goods Sold 1.089.000 Gross profit 891,000 Operating expenses Depreciation expense Amortization expense 21,000 Insurance experise 54,000 Other operating expenses 670.000 Net income $_221.000 Part A - Prepare a statement of cash flows (Indirect method) for Hartman, Inc. for the year ended December 31, 2013 Part B - Prepare the operating section of the cash flow statement using the direct method. ** pl 4: Prison Home Eva FS TE $ & % 5 2 3 4 6 7 8
