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how to prepare a statement of classflow and balance sheet Kay Wing. Inc. prepared the following balance sheet at December 31, 20x0. The following occurred
how to prepare a statement of classflow and balance sheet
Kay Wing. Inc. prepared the following balance sheet at December 31, 20x0. The following occurred during 201. 1. A $35.000 note payable was issued. 2. Land was purchesed for $50,000. 3. Bonds payable (maturing in 205 ) in the amount of $30.000 were retired by paying $30.000 cash. 4. Capital stock in the amount of $40.000 was issued at par value. 5. The company sold surplus equipment for $14.000. The equipment had a book value of $14.000 at the time of the sale. 6. Net income was $35.500. 7. Cash dividends of $5,000 were paid to the stockhoiders. 8. 100 shares of stock of another company (considered short-term imvestments) were purchased for $8,300. 9.$75.000 in bonds were issued. The next day, the proceeds were used to purchase a new buliding. 10,$12000 of depreclation was recorded on the plant and equipment 11. At December 31, 20x1, Cash was $93.200. Accounts receivable had balance of $41,500, inventory had increased to $73.000, and Accounts payable had fallen to $25.500. Long-term imvestments and Toxes payable were unchanged from 200. Required: 1. Prepare a statement of cash fows for 201 2 Prepare the December 31,201, balance sheet for Koy Wing. inc Step by Step Solution
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