Check my work 3 Problem 11-4A Prepare a statement of cash flows-indirect method (LO11-2, 11-3, 11-4, 11-5) The income statement, balance sheets, and additional information for Video Phones, Inc., are provided. 5 points eBook Print VIDEO PHONES, INC. Income Statement For the Year Ended December 31, 2021 Net sales $2,516,000 Expenses: Cost of goods sold $1,500,000 Operating expenses 768,000 Depreciation expense 18,000 Loss on sale of land 7,100 Interest expense 10,500 Income tax expense 39,000 Total expenses 2,342,600 Net income 173, 400 References VIDEO PHONES, INC. Balance Sheets December 31 2021 2020 Assets Current assets: Cash Accounts receivable Inventory Prepaid rent Long-term assets: Investments $145,460 71,100 105,000 8,640 $ 69,180 51,000 126,000 4,320 96,000 0 Check my work 3 VIDEO PHONES, INC. Balance Sheets December 31 2021 2020 Assets 5 points Current assets: $145,460 71,100 105,000 8,640 $ 69,180 51,000 126,000 4,320 eBook Cash Accounts receivable Inventory Prepaid rent Long-term assets: Investments Land Equipment Accumulated depreciation Print 0 References 96,000 201,000 252,000 (58, 200) $821,000 222,000 201,000 (40,200) Total assets $633,300 $ 57,900 5,100 14,100 $ 72,000 8,200 13,100 Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable Long-term liabilities: Notes payable Stockholders' equity: Common stock Retained earnings Total liabilities and stockholders' equity 267,000 216,000 210,000 266,900 $821,000 210,000 114,000 $633,300 Additional Information for 2021: 1. Purchase investment in bonds for $96.000 Chapter 11 Homework i Saved Help Save & Exit Submit Check my work m. Additional Information for 2021: 1. Purchase investment in bonds for $96,000. 2. Sell land costing $21,000 for only $13,900, resulting in a $7,100 loss on sale of land. 3. Purchase $51,000 in equipment by issuing a $51,000 long-term note payable to the seller. No cash is exchanged in the transaction. 4. Declare and pay a cash dividend of $20,500. 5 points eBook Required: Prepare the statement of cash flows using the indirect method. Disclose any noncash transactions in an accompanying note. (List cash outflows and any decrease in cash as negative amounts.) Print References VIDEO PHONES, INC. Statement of Cash Flows For the Year Ended December 31, 2021 Cash Flows from Operating Activities: Adjustments to reconcile net income to net cash flows from operating activities: Chapter 11 Homework i Saved Help Save & Exit Submit Check my work 3 5 points $ 0 Net cash flows from operating activities Cash Flows from Investing Activities: eBook Print References Net cash flows from investing activities 0 Cash Flows from Financing Activities: Net cash flows from financing activities 0 Cash at the beginning of the period Cash at the end of the period $ 0 Note: Noncash Activities
