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Golden Corporation's current yeor income statement, comparative balance sheets, and additional information follow For the year, (1) all sales are credit sales, (2) all credits
Golden Corporation's current yeor income statement, comparative balance sheets, and additional information follow For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash recelpts from customers, (3) all purchases of inventory are on credit, (4) all deblts to Accounts Payable reflect cash payments for inventory, and (5) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. Additional Information on Current Year Transactions a. Purchased equipment for $52,900 cash. b. Issued 13,000 shares of common stock for $5 cash per share. c. Declared and paid $99,000 in cash dividends. GOLDEN CORPORATION Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities \begin{tabular}{|l|ll|} \hline Net income & $ & 152,000 \\ \hline \end{tabular} Adjustments to reconcile net income to net cash provided by operations: Income statement items not affecting cash \begin{tabular}{|l|r|} \hline Depreciation expense & 54,000 \\ \hline \end{tabular} Changes in current assets and current liabilities \begin{tabular}{|l|l|l|} \hline Increase in accounts recelvable & & \\ \hline Increase in inventory & & \\ \hline Increase in accounts payable & & \\ \hline Increase in taxes payable & & \\ \hline & & 206,000 \\ \hline rach flnwe from invoetinn artivitios & & \\ \hline \end{tabular}
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