Exercise 23-11

Condensed financial data of Windsor Company for 2017 and 2016 are presented below.

WINDSOR COMPANY COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2017 AND 2016
		2017			2016
Cash		$1,780			$1,140
Receivables		1,760			1,310
Inventory		1,570			1,900
Plant assets		1,890			1,720
Accumulated depreciation		(1,190	)		(1,150	)
Long-term investments (held-to-maturity)		1,280			1,410
		$7,090			$6,330
Accounts payable		$1,220			$890
Accrued liabilities		210			250
Bonds payable		1,430			1,540
Common stock		1,940			1,730
Retained earnings		2,290			1,920
		$7,090			$6,330

WINDSOR COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2017
Sales revenue		6670
Cost of goods sold		4,640
Gross margin		2,030
Selling and administrative expenses		930
Income from operations		1,100
Other revenues and gains
Gain on sale of investments		80
Income before tax		1,180
Income tax expense		550
Net income		630
Cash dividends		260
Income retained in business		$370

Additional information: During the year, $70 of common stock was issued in exchange for plant assets. No plant assets were sold in 2017. Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)