H m G Scalamandree Cuisine Inc. Income Statement for the year ended December 31, 2020 Sales $ 1,225,000 Interest Revenue 200 Dividend Revenue 1,500 Gain on Sale of Trading securities 2,600 Gain on Sale of Patents 17,500 Total Revenue & Gains $ 1,246,800 Cost of Goods Sold S 465,500 Salary Expense 357.000 Pension expense 45,000 Depreciation Expense 20,000 Amortization Expense 9,000 Other Operating Expenses 98,100 Interest Expense (incl. $1,800 amort bond discount) 18,500 Unrealized holding loss - Trading Securities 14.000 Loss on Sale of Equipment 3,200 Loss on Bond Retirement 7,480 Total Expenses & Losses 1,037,780 Income Before Tax S 209,020 Income Taxes 37,000 Net Income $ 172,020 Additional Information a Cash was paid for Patents. Patents with an amortized cost of $12,000 were sold for cash b Cash dividends were declared Stock was issued for cash d Treasury shares were re-issued. Retained earnings was decreased by $700 as a result of the re-issue Equipment was sold for cash f Trading securities were sold for cash 9 Trading securities costing S42,000 were purchased with cash h Bonds were retired with cash on Dec. 31, 2020 Machinery costing $40,000 was purchased. Of this amount $15,000 was financed. PREPARE A STATEMENT OF CASH FLOWS (Indirect method for the year ended Dec 31, 2020 e The balance sheets of Scalamandree Cuisine Inc. at December 31, 2020 and December 31, 2019 and the related income statement for the year ended December 31, 2020 are as follows: Assets Cash Trading securities Securities fair value adjustment Accounts Receivable Inventory Prepaid Expenses Supplies Machinery & Equipment Accumulated Depreciation Patents 31-Dec-20 190,050 99,200 (11,500) 165,200 156,250 25,000 3,800 88,500 (30,000) 51,000 737,500 31.Dec.19 80,000 127 200 2,500 175,000 141,000 28,200 1,200 65,000 (18,000) 26,000 628,100 112,000 1.200 19.000 6.200 3,600 Liabilities & Equity Accounts Payable Salaries Payable Accrued Expenses Payable Accrued pension cost Income taxes payable Deferred taxes payable Dividends Payable Note payable - machinery Bonds Payable Bond Discount Common Stock Paid-in Capital in Excess of Par Paid-in Capital from sale Treas. Stk. Retained Earnings Treasury Stock 78,000 6,700 14,000 1,500 12,100 2,000 1,800 15,000 210,000 (9,720) 135,000 103,400 3,700 350,000 (18.000) 75,000 42,000 2,500 48,400 (17.500) 628,100 171.220 (3.500) 737.500 Scalamandree Cuisine Inc. atamant