Dec. 31, 20Y9 Dec. 31, 20Y8 Assets Cash $297,190 $277,100 Accounts receivable (net) 107,660 99,520 Inventories 303,920 294,660 Investments 0 114,160 Land 155,890 0 Equipment 335,330 260,510 Accumulated depreciation equipment (78,500) (70,250) Total assets $1,121,490 $975,700 Liabilities and Stockholders' Equity Accounts payable $202,990 20,190 $192,210 25,370 Accrued expenses payable Dividends payable 11,210 8,780 Common stock, $10 par 60,560 47,810 Excess of paid-in capital over par 227,660 132,700 Retained earnings 598,880 568,830 Total liabilities and stockholders' equity $1,121,490 $975,700 Check My Work Previous Next Additional data obtained from an examination of the accounts in the ledger for 2049 are as follows: a. Equipment and land were acquired for cash. b. There were no disposals of equipment during the year. c. The investments were sold for $102,740 cash. d. The common stock was issued for cash. e. There was a $75,910 credit to Retained Earnings for net income. f. There was a $45,860 debit to Retained Earnings for cash dividends declared. Required: Prepare a statement of cash flows, using the indirect method of presenting cash flows from (used for) operating activities. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments. Merrick Equipment Co. Statement of Cash Flows For the Year Ended December 31, 2019 Cash flows from (used for) operating activities: Net income Adjustments to reconcile net income to net cash flows from (used for) operating activities: Depreciation Loss on sale of investments Changes in current operating assets and liabilities: Increase in accounts receivable Increase in inventories Check My Work Previous Next Chapter 16 Cengage Homework 3. PE.16.02A eBook Show Me How Print Item minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments. Merrick Equipment Co. Statement of Cash Flows For the Year Ended December 31, 2019 Cash flows from (used for) operating activities: Net income 4. PE.16.02B 5. PE. 16.03A 6. PE. 16.03B Adjustments to reconcile net income to net cash flows from (used for) operating activities: Depreciation 7. PE.16.04A Loss on sale of investments 8. PE.16.04B 9. PE.16.05A Changes in current operating assets and liabilities: Increase in accounts receivable 10. PE.16.05B Increase in inventories Increase in accounts payable 11. PE.16.07A Decrease in accrued expenses payable 12. EX.16.02 o 13. EX.16.03 Net cash flows from operating activities Cash flows from (used for) investing activities: Cash received from sale of investments 14. EX.16.04 Cash paid for purchase of land 15. PR. 16.01.ALGO Cash paid for purchase of equipment 16. PR. 16.02B Check My Work
