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I would if someone can answer this to compare my solution. Wilma Company had the following information available at the end of 2018 Income Statement
I would if someone can answer this to compare my solution.
Wilma Company had the following information available at the end of 2018 Income Statement For Year Ended December 31, 2018 Sales Cost of Goods Sold Gross Profit Operating Expenses 441,000 205,200 235,800 Depreciation Salaries Insurance Utilities 14,800 79,400 10,300 11,900 Total Operating Expenses Operating Income Other Expenses/Losses 116,400 119,400 4,500 6,400 Gain on Sale of Equipme (1,900 117,500 19,900 97,600 Interest Expense Income Before Taxes Income Tax Expense Net Income The following additional information is available a. Investments costing $38,000 were purchased for cash. b. Equipment costing $20,000 with accumualted depreciation of S2,300 was sold for $22,200 cash. c. Equipment costing $90,000 was purchased--$60,000 cash was paid and a S30,000 long-tem promissory note was signed for the balance due d. A cash dividend of $45,000 was declared and paid to shareholders during the year e. $1,000 of the long-tem note payable was paid. f. 5,000 shares of S1-par value common stock were issued for $3 per share cash. g. Land costing $24,700 was sold for $24,700 cash. REQUIRED: A. Complete a set of cash flow T-accounts using the indirect method of computing cash flows from operations B. Complete a set of cash flow T-accounts using the direct method of computing cash flows from operations CHAPTER 13 CHECKPOINT #2-INDIRECT METHOD CASH 15,800 Accounts Receivable Merchandise Inventory Beg Beg 26,500 Beg 64,600 OPERATING: End 25,800 End 71,100 Prepaid Insurance Investments 14,900 Beg 25,000 End 20,000 End 63,000 Land uipment Beg 34,700 Beg 184,000 End 10,000 End 254,000 Accum. Depr.-Equi Accounts Payable 87,100 Beg 35,500 Beg INVESTING: 99,600 End 30,000 End Salaries Pavable Income Taxes Pavable 15,500 Beg 13,000 Beg 18,000 End 12,100 End FINANCING: ong-Term Notes Pavabl Common Stock, $1-par 73,000 Beg 50,000 Beg 02,000 End 55,000 End APIC Retained Earnin 52,700 Beg 38,700 Beg End 26,800 62,700 End 91,300 End CHAPTER 13 CHECKPOINT #2-DIRECT METHOD CASH 15.800 Accounts Receivable Merchandise Inventory Beg Beg 26,500 Beg 64,600 OPERATING: End 25,800 End 71,100 Prepaid Insurance Investments 25,000 Beg 14,900 Beg End 20,000 End 63,000 Land Equipment Beg 34,700 Beg 184,000 End 10,000 End254,000 Accum. Depr-Equip Accounts Pavable 87,100 Beg 35,500 Beg INVESTING: 99,600 End 30,000 End Salaries Payable Income Taxes Pavable 15,500 Beg 13,000 Beg 18,000 End 12,100 End FINANCING: ong-Term Notes Payabl Common Stock, S1-par 73,000 Beg 50,000 Beg 102,000 End 55,000 End APIC Retained Earnin 52,700 Be 38,700 Beg End 26,800 62.700End 91,300 EndStep by Step Solution
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