Hunter Company is developing its annual financial statements at December 31. The statements are complete except for the statement of cash flows. The completed comparative balance sheets and income statement are summarized: $13.500 Balance Sheet at December 31 Cash Accounts Receivable Inventory Equipment Accumulated Depreciation Equipment Total Assets Accounts Payable Salaries and Wages Payable Note Payable long-tera) Common Stor Retained Lari Total Liabil a nd Stockholders' Equity Income Statement urrent year) Sales Revenue Cost of Goods Sold Other Expenses Net Ince $44,999 18.900 21.900 101, 100 (33,480) $153,490 $ 19.600 890 27,000 75,500 30,500 $153,490 23.500) $128,000 $ 17,500 1.000 39,000 51,000 19,500 $128,000 $119.00 70. 34,609 $ 13,900 Additional Data: a. Bought equipment for cash, $8.100 b. Paid $12.000 on the long-term note payable c.Issued new shares of stock for $24.500 cash d. Declared and paid a $2.900 cash dividend. e. Other expenses included depreciation, $7.900, salaries and wages, $11.900 taxes, $4.900: utilities. $9.900 Accounts Payable includes only inventory purchases made on credit. Because there are no liability accounts relating to taxes or other expenses, assume that these expenses were fully paid in cash Required: 1. Prepare the statement of cash flows for the year ended December 31 using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) HUNTER COMPANY Statement of Cash Flows For the Year Ended December 31 Cash Flows from Operating Activities Net Income Adjustments to Reconcile et Income to Net Cash Provided by Opera Active Decream Account o Decret Decre Payable e s and Wages Payable Proy 19 of 19 Additional Data: a. Bought equipment for cash, $8,100. b. Paid $12,000 on the long-term note payable. c. Issued new shares of stock for $24,500 cash. d. Declared and paid a $2,900 cash dividend. e. Other expenses included depreciation, $7,900; salaries and wages, $11,900; taxes, $4.900, utilities, $9,900. f. Accounts Payable includes only inventory purchases made on credit. Because there are no liability accounts relating to taxes or other expenses, assume that these expenses were fully paid in cash. Book Required: 1. Prepare the statement of cash flows for the year ended December 31 using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) ferenc HUNTER COMPANY Statement of Cash Flows For the Year Ended December 31 Cash Flows from Operating Activities Net Income Adjustments to Reconcile Net Income to Not Cash Provided by Operating Activities 13,900 51.000 Depreciation Expono Decrease in Accounts Receivable Increase in Inventory Decrease in Accounts Payable Decrease in Salaries and Wages Payablo 51.000 54.900 Cash Flows from Investing Activities Cash Flows from Financing Activities
