Enabled. Asignacion Capitulo 16 Saved Required information [The following information applies to the questions displayed below] The following financial statements and additional information are reported. IKIBAN INCORPORATED Comparative Balance Sheets 54 At June 30 Assets Cash Accounts receivable, net Prepaid expenses Inventory Total current assets Equipment Accumulated depreciation-Equipment Total assets Liabilities and Equity Accounts payable Wages payable Income taxes payable Total current liabilities Notes payable (long term) Total liabilities Equity Common stock, $5 par value 2021 2020 $ 102,100 78,500 72,800 5,300 $ 53,000 60,000 100,000 7,280 258,700 220,200 133,000 (31,500) $ 360,200 $ 34,000 6,900 124,000 (13,500) $ 330,700 $ 43,500 16,800 4,300 5,600 45,200 65,900 39,000 69,000 84,200 134,900 238,000 169,000 Retained earnings 38,000 26,800 Total liabilities and equity $ 360,200 $ 330,700 IKIBAN INCORPORATED Income Statement Sales Cost of goods sold For Year Ended June 30, 2021 Gross profit Operating expenses (excluding depreciation) Depreciation expense Other gains (losses) Gain on sale of equipment Income before taxes Income taxes expense $ 723,000 420,000 303,000 67,600 67,600 159,400 2,900 162,300 44,790 Total liabilities and equity IKIBAN INCORPORATED Saved Help Save & Exit $ 360,200 $330,700 Income Statement For Year Ended June 10, 2023 Sales $ 723,000 Cost of goods sold 420,000 Gross profit Operating expenses (excluding depreciation) Depreciation expense Other gains (losses) Gain on sale of equipment Income before taxes Income taxes expense Net Income Additional Information 303,000 76,000 67,600 159,400 2,900 162,300 44,790 $117,510 a. A $30,000 notes payable is retired at its $30,000 carrying (book) value in exchange for cash b. The only changes affecting retained earnings are net income and cash dividends paid. c. New equipment is acquired for $66.600 cash d. Received cash for the sale of equipment that had cost $57,600, yielding a $2,900 gain e. Prepaid Expenses and Wages Payable relate to Operating Expenses on the income statement. f. All purchases and sales of inventory are on credit Required: (1) Prepare a statement of cash flows using the indirect method for the year ended June 30, 2021. (Amounts to be deducted should be indicated with a minus sign) Cash flows from operating activities IKIBAN, INCORPORATED Statement of Cash Flows Bndirect Method) For Year Ended June 30, 20211 Adjustments to reconcile net income to net cash provided by operating actives Income statement Rems not affecting cash ng Enabled. Asignacion Capitulo 16 Required information 52:09 Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in curient operating assets and liabilities Cash flows from investing activities Cash flows from financing activities Net increase (decrease) In cash Cash balance at prior year-end Cash balance at current year-end Saved $ 0 $ 0 S 0