$ in thousands$)$

$20242023$

Assets

Cash

$ $42$

$ $30$

Accounts receivable

$73$

$75$

Short$-$term investment

$40$

$15$

Inventory

$7570$

Land

Buildings and equipment

$5060$

$550400$

Less: Accumulated depreciation

$(115)$

$(75)$

$$715$

$8575$

Liabilities

Accounts payable

$828$ $ $35$

Salaries payable

$2$

$5$

Interest payable

$5$

$3$

Income tax payable

$9$

$12$

Notes payable

$0$

$30$

Bonds payable

$160100$

Shareholders' Equity

Common stock

$250200$

Paid$-$in capital$-$excess of par

$126100$

Retained earnings

$13590$

$8715$

$$575$

WRIGHT COMPANY

Income Statement

For Year Ended December $31,2024$

Revenues:

$($$ in thousands$)$

Sales revenue

$$380$

Expenses:

Cost of goods sold

$$130$

Salaries expense

$45$

Depreciation expense

$40$

Interest expense

$12$

Loss on sale of land

$3$

Income tax expense

$70300$

Net income

$ $80$

Additional information from the accounting records

a$.$ Land that originally cost $$10,000$ was sold for $$7,000.$

b$.$ The common stock of Microsoft Corporation was purchased for $$25,000$ as a short$-$term investment not classified as a cash equivalent

c$.$ New equipment was purchased for $$150,000$ cash.

d$.$ A $$30,000$ note was paid at maturity on January $1.$

e$.$ On January $1,2024,$ bonds were sold at their $$60,000$ face value.

f$.$ Common stock $($$$50,000$ par$)$ was sold for $$76,000.$

g$.$ Net income was $$80,000$ and cash dividends of $$35,000$ were paid to shareholders.

Required:

Prepare the statement of cash flows of Wright Company for the year ended December $31,2024.$ Present cash flows from operating activities by the direct method $($You may omit the schedule to reconcile net income with cash flows from operating activities.$)$The comparative balanoe shevts for $2024$ and $2023$ and the statument of inoome for $2024$ afe given below for Wright Company:

Additional information from Wright's acoounting records is provided also.

WRIGHT COMPANY

Conparative Balance Sheets

December $31,2024$ and $2023$

$($s in thoutands$)$

WRIGHT COMPANY

Income Statement

For Year Ended December $31,2024$

$($s in thousands$)$

Revenus:

Sales rewento

Expemes:

Net income

Additional infomation from she asourting roord:

a$.$ Land that originally cost $$10,000$ was sold for $$7,000.$

b$.$ The common stock of Microsot Corporation was purchasud for $$25,000$ as a thorterm invetment not clastifed as a cash

equivalent.

c$.$ New equipanent was purchased for $$150,000$cash.

d$.$ A $$30,000$ note was paid at maturity on January $1.$

On January $1,2024,$ bonds were sold at their $$60,000$ tace value.

f$.$ Common stock $($ $$50,000$ par$)$ was sold for $$76,000.$

Net income was $$80,000$ and cath dividends of $$35,000$ were paid to thartholders.

Required:

Prepare the statement of cash fons of Wright Company for the year ended Decumber $31,2024.$ Prusent cath flows from opvating

activities by the direct method. $($You may onit the schudule to feconcile nut income with cash flows from operating activities.$)$

COULD YOU PLS TELL ME HOW TO DO THIS QUESTION STEP BY STEP IN INDIRECT METHOD I$\text{'}$M HAVING TROUBLE WITH THIS QUESTION THATS Y AND MY PROF WENT FAST THRU THIS TOPIC TOO SO PLS