Exercise 17-08 Part Submission

Exercise 17-08 (Part Level Submission) Rojas Corporation's comparative balance sheets are presented below. ROJAS CORPORATION Comparative Balance Sheets December 31 2020 Cash $14,500 Accounts receivable 20,800 Land 19,600 Buildings 70,100 Accumulated depreciation-buildings (15,000) Total $110,000 2019 $10,700 23,800 26,300 70,100 (10,700) $120,200 Accounts payable Common stock Retained earnings Total $11,800 75,000 23,200 $110,000 $28,300 73,400 18,500 $120,200 Additional information: 1. Net income was $22,800. Dividends declared and paid were $18,100. 2. No noncash investing and financing activities occurred during 2020. 3. The land was sold for cash of $4,600. Prepare a statement of cash flows for 2020 using the indirect method. (Show amounts that decrease cash flow with either a sign .g. -15,000, or in parenthesis e.o. (15,000).) ROJAS CORPORATION Statement of Cash Flows For the Year Ended December 31, 2020 Cash Flows from Operating Activities : T Net Income 22800 Adjustments to reconcile net income to Net Cash Provided by Operating Activities 1 Depreciation Expense 4300 Decrease in Accounts Payable (16500) Decrease in Accounts Receivable T 3000 2100 T Loss on Disposal of Plant Assets T MAR 12 T (7100) T Net Cash Provided by Operating Activities 15700 TCash Flows from Investing Activities Sale of Land 4600 Net Increase in Cash 4600 Cash Flows from Financing Activities Payment of Dividends 1 (18100) 1 Issuance of Common Stock I T 1600 Net Cash Used by Financing Activities (16500) Net Increase in Cash laar 3800 Cash at Beginning of Period 10700 Cash at End of Period 14500 (b) x Your answer is incorrect. Compute free cash flow. (Enter negative amount using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Free cash flow 3800