Exercise 12-7 Partially correct answer. Your answer is partially correct. Try again. Shown below are comparative balance sheets for Sheffield Company. Sheffield Company Comparative Balance Sheets December 31 Assets 2017 2016 Cash $ 70,040 $ 22,660 Accounts receivable 90,640 78,280 Inventory 172,010 194,670 Land 82,400 103,000 Equipment 267,800 206,000 Accumulated depreciationequipment (67,980 ) (32,960 ) Total $614,910 $571,650 Liabilities and Stockholders Equity Accounts payable $ 40,170 $ 44,290 Bonds payable 154,500 206,000 Common stock ($1 par) 222,480 179,220 Retained earnings 197,760 142,140 Total $614,910 $571,650 Additional information: 1. Net income for 2017 was $95,790. 2. Depreciation expense was $35,020. 3. Cash dividends of $40,170 were declared and paid. 4. Bonds payable amounting to $51,500 were redeemed for cash $51,500. 5. Common stock was issued for $43,260 cash. 6. No equipment was sold during 2017. 7. Land was sold for its book value. Prepare a statement of cash flows for 2017 using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -45,000, or in parenthesis e.g. (45,000)).

Exercise 12-7 Your answer is partially correct. Try again. Shown below are comparative balance sheets for Sheffield Company. Sheffield Company Comparative Balance Sheets December 31 Assets Cash Accounts receivable Inventory Land Equipment Accumulated depreciation-equipment Total Liabilities and Stockholders' Equit Accounts payable Bonds payable Common stock ($1 par) Retained earnings Total 2017 2016 70,040 90,640 172,010 82,400 267,800 (67,980 ) $ 22,660 78,280 194,670 103,000 206,000 (32,960) $571,650 $614,910 $ 40,170 154,500 222,480 197,760 $614,910 $ 44,290 206,000 179,220 142,140 $571,650 Additional information: otal Additional information: 1. Net income for 2017 was $95,790 2. Depreciation expense was $35,020. 3. Cash dividends of $40,170 were declared and paid 4. Bonds payable amounting to $51,500 were redeemed for cash $51,500. 5. Common stock was issued for $43,260 cash. 6. No equipment was sold during 2017. 7. Land was sold for its book value. Prepare a statement of cash flows for 2017 using the indirect method. (Show amounts that decr Sheffield Company Statement of Cash Flows December 31, 2017 Cash Flows from Operating Activities Net Income 95790 Adjustments to reconcile net income to Net Decrease in Cash Depreciation Expense 35020 Adjustments to reconcile net income to Net Decrease in Cash Depreciation Expense 35020 Increase in Accounts Receivable 22660 Decrease in Inventory 12360 Decrease in Accounts Payable 4120 49440 Cash at Beginning of Period 145230 Cash Flows from Investing Activities Sale of Land 20600 Purchase of Equipment 61800 Cash Flows from Investing Activities 82400 Cash Flows from Investing Activities 82400 Cash Flows from Financing Activities Payment of Cash Dividends 43260 Redemption of Bonds -40170 Issuance of Common Stock 51500 Net Cash Provided by Financing Activities 54590