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Hey guys sorry, this is actually and accounting problem not an economics one. I clicked the wrong button when I was posting this. The Brady
Hey guys sorry, this is actually and accounting problem not an economics one. I clicked the wrong button when I was posting this.
The Brady Corporation reported the following income statement for 2018 and comparative balance sheet for 2018 and 2017, along with transaction data for 2018: (Click the icon to view the comparative balance sheet.) (Click the icon to view the income statement.) B (Click the icon to view the additional data.) Prepare Brady Corporation's statement of cash flows for the year ended December 31, 2018. Format cash flows from operating activities by the indirect method. (Use a minus sign or parentheses for amounts that result in a decrease in cash. If a box is not used in the statement, leave the box empty: do not select a label or enter a zero.) Brady Corporation Statement of Cash Flows Year Ended December 31, 2018 Cash Flows from Operating Activities: Net Income Adjustments to Reconcile Net Income to Net Cash Provided (Used for) by Operating Activities: Net Cash Provided by (Used for) Operating Activities * Data Table Brady Corporation Comparative Balance Sheet December 31, 2018 and 2017 Increase (Decrease) 2018 2017 Assets Current Assets: Cash 50,000 $ 23,000 10,000 $ 26,000 38,000 40,000 (3,000) 11,000 49,000 Accounts Receivable Merchandise Inventory Long-term Assets: Plant Assets Accumulated Depreciation-Plant Assets 189,700 (21,700) 290,000 $ 96,700 (23,700) 147,000 $ 93,000 2,000 143,000 $ Total Assets Liabilities $ Current Liabilities: Accounts Payable Accrued Liabilities Income Tax Payable Long-term Liabilities: Bonds Payable Total Liabilities 33,000 $ 1,000 7,000 21,000 $ 5,000 7,000 12,000 (4,000) 0 90,000 55,000 35,000 131,000 88,000 43,000 Stockholders' Equity Common Stock, no par 56,000 Retained Earnings 115,000 (12,000) Treasury Stock 159,000 Total Stockholders' Equity 290,000 $ Total Liabilities and Stockholders' Equity 24,000 39,000 (4,000) 59,000 147,000 $ 32,000 76,000 (8,000) 100,000 143,000 Data Table Brady Corporation Income Statement Year Ended December 31, 2018 Net Sales Revenue $ 679,000 490,000 Cost of Goods Sold 189,000 Gross Profit Operating Expenses: Salaries and Wages Expense Depreciation ExpensePlant Assets $ 48,000 13,000 11,000 Rent Expense 72,000 Total Operating Expenses Operating Income Other Income and (Expenses): 117,000 Loss on Disposal of Plant Assets (7,000) (7,000) Total Other Income and (Expenses) Net Income Before Income Taxes 110,000 18,000 Income Tax Expense $ 92,000 Net Income Data Table Transaction data for 2018 170,000 16,000 16,000 51,000 Cash paid for purchase of equipment Cash payment of dividends Issuance of common stock to retire bonds payable Issuance of bonds payable to borrow cash Cash receipt from issuance of common stock Cash receipt from sale of equipment (Cost, $77,000; Accumulated Depreciation, $15,000) Cash paid for purchase of treasury stock 16,000 55,000 8,000Step by Step Solution
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