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Following are selected balance sheet accounts of Del Conte Corp. at December 31, 2021 and 2020, and the increases or decreases in each account from
Following are selected balance sheet accounts of Del Conte Corp. at December 31, 2021 and 2020, and the increases or decreases in each account from 2020 to 2021. Also presented is selected income statement information for the year ended December 31, 2021. and additional information. Increase (Decrease) $ 24,000 44,080 25,000 Selected Balance Sheet Accounts 2021 2020 Assets Accounts receivable $ 62,eee $ 38,eee Property, plant, and equipment 305,680 261,600 Accumulated depreciation (286,880) (181,680) Liabilities and Stockholders' Equity Bonds payable 91,888 74,600 Dividends payable 15,888 10,600 Common stock, $1 par 50,000 33,00 Additional paid-in capital 16,000 8,600 Retained earnings 132,000 1e5, eee Selected Income Statement Information for the Year Ended December 31, 2021 Sales revenue $ 183,ese Depreciation 61,eee Gain on sale of equipment 20,00 Net income 56,eee 17,280 4,400 17.ee 7,480 27,eee Additional information: a. Accounts receivable relate to sales of merchandise. b. During 2021, equipment costing $68,000 was sold for cash. c. During 2021. bonds payable with a face value of $48.000 were issued in exchange for property, plant, and equipment. There was no amortization of bond discount or premium. Required: Items 1 through 5 represent activities that will be reported in Del Conte's statement of cash flows for the year ended December 31. 2021. The following two responses are required for each item: a. Determine the amount that should be reported in Del Conte's 2021 statement of cash flows. b. Select the category (ie.. O - Operating activity. I - Investing activity and F - Financing activity) in which the amount should be reported in the statement of cash flows. Answer is complete but not entirely correct. 1. 2. Amount Category S 159.000 S 112,000 X 1 S 52.000 1 S 140.000 XF Cash collections from customers (direct method). Payments for purchase of property, plant, and equipment. Proceeds from sale of equipment. Cash dividends paid. Redemption of bonds payable 3. OOOO 4. 5. S 31.000
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