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Instant Brake Inc.'s comparative balance sheet information at December 31, 2020 and 2019, and its income statement for the year ended December 31, 2020, are

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Instant Brake Inc.'s comparative balance sheet information at December 31, 2020 and 2019, and its income statement for the year ended December 31, 2020, are as follows: $893,000 586,000 307.00 Instant Brake Inc. Income Statement December 31, 2020 Sales Cost of goods sold Gross profit Operating expenses Depreciation expense Operating Profit Loss on sale of equipment Investment income Profit before taxes Income taxes Profit $132.829 41,380 174,200 132.000 9.21 16.520 140, 11e 23,00 $112.110 Instant Brake Inc. Balance Sheet Information December 31 2020 2019 558,000 $26,960 22,250 11.600 90,320 47.440 116,240 93.520 22,28 75.000 78.300 461,500 478,100 140.050 113.960 10.se 39.500 $ 31,040 10,680 42,880 22,720 22.280) Cash equivalents Accounts receivable Inventory Investment Land Building and equipent Accumulated depreciation Accounts payable ednouala (16,520) 21.090 (29,750) n Help Save & Exit 39,800 669 Accounts payable Dividends payable Bonds payable Preferred shares Common shares Retained earnings 10,ese 3,280 34,000 83.60 408,88e 148, 240 (29,750) 2,689 34,00 83,600 488.00 107.660 40,580 During 2020, the following transactions occurred: 1. Purchased equipment for $20,200 cash. 2. Sold the investment on January 1, 2020, for $38,800, resulting in investment income of $16,520, 3. Sold equipment for $7,220 cash that had originally cost $36.720 and had $20.290 of accumulated depreciation. 4. Issued $34,000 of bonds payable at face value. Required: 1. How much cash was paid in dividends? Dividends paid 2. Prepare a statement of cash flows for instant Brake for the year ended December 31, 2020. using the indirect method (List any deduction in cash and cash outfiows as negative amounts.) 2. Prepare a statement of cash flows for Instant Brake for the year ended December 31, 2020, using the indirect method. (List any deduction in cash and cash outflows as negative amounts.) INSTANT BRAKE INC. Statement of Cash Flows For Year Ended December 31, 2020 Cash flows from operating activities: HIS Adjustments to reconcile profitto nel cash inflows from operating activities Cash flows from investing activities: 1

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