Exercise 17-08 Rojas Corporation's comparative balance sheets are presented below. ROJAS CORPORATION Comparative Balance Sheets December 31 2020 2019 Cash $14,500 $10,600 Accounts receivable 21,500 23,200 Land 20,200 25,700 Buildings 70,000 70,000 Accumulated depreciation-buildings (15,500) (10,500) Total $110,700 $119,000 Accounts payable Common stock Retained earnings Total $12,700 76,000 22,000 $110,700 $27,600 72,700 18,700 $119,000 Additional information: 1. Net income was $23,000. Dividends declared and paid were $19,700. 2. No noncash investing and financing activities occurred during 2020. 3. The land was sold for cash of $4,400. Your answer is partially correct. Prepare a statement of cash flows for 2020 using the indirect method. (Show amounts that de ROJAS CORPORATION Statement of Cash Flows For the Year Ended December 31, 2020 Cash Flows from Operating Activities Net Income 23000 Adjustments to reconcile net income to Net Cash Provided by Operating Activities Depreciation Expense Decrease in Accounts Receivable 1700 Loss on Disposal of Plant Assets (600) Depreciation Expense Decrease in Accounts Receivable 1700 Loss on Disposal of Plant Assets (600) Decrease in Accounts Payable (14900) no Net Cash Provided by Operating Activities Cash Flows from Investing Activities Sale of Land Net Cash Provided by Investing Activities Cash Flows from Financing Activities Issuance of Common Stock 76000 5 Payment of Dividends (19700) Net Cash Used by Financing Activities Net Increase in Cash DO D Cash at Beginning of Period Cash at End of Period Net Increase in Cash DOO I Cash at Beginning of Period Cash at End of Period SHOW SOLUTION LINK TO TEXT LINK TO TEXT 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 Student did not submit Show Work for this attempt Net Increase in Cash DOO I Cash at Beginning of Period Cash at End of Period SHOW SOLUTION LINK TO TEXT LINK TO TEXT 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 Student did not submit Show Work for this attempt