EX 13-17 Statement of cash flows-indirect method 1. The comparative balance sheet of Olson-Jones Industries Inc. for December 31, 2012 and 2071, is as follows: Dec 31, 2012 Dec. 31, 2041 Assets Cash Accounts receivable (net) Inventories Land $183 55 117 250 205 168) $742 $ 14 49 99 330 175 142 $625 $ 37 Equipment. Accumulated depreciation equipment Total assets. Liabilities and Stockholders'Equity Accounts payable (merchandise creditors) Dividends payable... Common stock, si par... Paid in capitals Excess of issue price over par-common stock.... Retained earnings...... Totalllabilities and stockholders equity $ 51 5 125 85 476 5742 80 70 438 5625 The following additional information is taken from the records: a) Land was sold for $120 b) Equipment was acquired for cash. c) There were no disposals of equipment during the year. d) The common stock was issued for cash e) There was a 562 credit to Retained Earnings for net income 1) There was a $24 debit to Retained Earnings for cash dividends declared Total liabilities and stockholders' equity. $742 $625 The following additional information is taken from the records: a) Land was sold for $120. b) Equipment was acquired for cash. c) There were no disposals of equipment during the year. d) The common stock was issued for cash. e) There was a $62 credit to Retained Earnings for net income. 0 There was a $24 debit to Retained Earnings for cash dividends declared e) Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities Was Olson-Jones's net cash flow from operations more or less than net income? What is the source of this difference? a A Prepare a statement of cash flows, using the Indirect method of presenting cash flows from operating activities Was Olson-Jones's net cash flow from operations more or less than net income? What is the source of this difference? A A. OLSON-JONES INDUSTRIES INC. Statement of Cash Flows For the Year Ended December 31, 20Y2 Cash flows from operating activities: Net income Adjustments to reconcile net income to net cash flow from operating activities Depreciation Changes in current operating assets and liabilities: 3 9 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 Net cash flow from operating activities Cash flows from investing activities Net cash flow from investing activities Cash flows from financing activities K L M N o Depreciation P Changes in current operating assets and liabilities: Net cash flow from operating activities Cash flows from investing activities Net cash flow from investing activities Cash flows from financing activities Net cash flow from financing activities Change in cash Cash at the beginning of the year Cash at the end of the year F G H K LM N P Net cash flow from financing activities Change in cash Cash at the beginning of the year Cash at the end of the year [Key essay answer here] Ex. 13.17