Is my statement of cash flows correct?

X practice 1 accounting Excel eric carson AutoSave c Tell me what you want to do Share File Home Insert Page Layout Formulas Data Review View Help AutoSumA O Cut -11 A b Wrap Text Calibri Number ECopy Paste Format Painter Fill E Merge & Center- Conditional Format as Cell Insert Delete Format Sort & Find & A. BIU % Clear Select Styles Formatting Dle Clipboard Cells Font Alignment Number Stvles Editing f F29 -F9- F28 F C D E G M N O R S Prepared Inc. Income Statement 3 1-Jan-19 4 Sales 139,000 Less: Sales discount 5 800 sales retums & allowances 3.000 6 7 Net sales 135,200 Cost of goods solds 84,560 8 9 Gross profit 50,640 10 Operating expenses 11 Insurance expense 200 12 repairs expense 2,500 depreciation expense: building fice eq 1Be 2 50 14 15 supplies expense selling 1.200 16 Utilities expense: office 1.500 17 office salaries expense 15.000 18 office payroll tax expense 1.200 19 Depreciation Exp: Store Eq 800 20 Amortization expense 700 21 Sales Salaries Exoense 10.000 income Sheet2 E - Ready 100 11:28 PM a Type here to search 7/13/2019 m : AutoSave O A I love accounting Saved to this PC eric carson Tell me what you want to do Share File Home Insert Design Layout References Mailings Review View Help Cut Find Celibri (Body) 11 A A Aa - AaBbCcD AaBbCcDc AaBbC AaBbCcl AaB AaBbccc AaBbCcD AaBbCcD ECopy aste ab Replace A - -A- = == E- I U TNo Spac. Subtle Em... Emphasis abc X. * Heading 1 T Normal Heading 2 Title Subtitle Format Painter Select Clipboard Font Paragraph Styles Editing Be Prepared Ino December 31, 2018 Assats Labilities Cesh 27,500 Accounts Peysble 25,000 2yeble 50.000 Marte. Paabie 232 500 1,500 Total Liabilites Office Suppligs id Insurnce Building 400 Stockholder's Equity epreaation, Building d OPEF Accumulated Depreciation, Office Equipment (15,000 Paid in Capital in Excess of par: Prefered 7,500 Commor cs of par: Acumulated Depreciation, Store Equipment 15.000 at Patents 70,000 Tetal Stackholder's Equity 746250 Total Liabilities a 513,750 Total Assets d Stockholder's Equity 746 250 Page 4 of 6 775 words 1008% 11:25 PM a O Type here to search 7/13/2019 : AutoSave O A I love accounting Saved to this PC eric carson Tell me what you want to do Share File Home Insert Design Layout References Mailings Review View Help Cut Find Calibri (Body) 11 A A Aa AaBbCcD AaBbccDc AaBbC AaBbCcl AaB AaBbccc AaBbCcD AaBbCcD ECopy aste ab Replace A - -A- = == E- I U T Normal Subtle Em... Emphasis abc X. * Heading 1 TNo Spac.. Heading 2 Title Subtitle Format Painter Select Clipboard Font Paragraph Styles Editing Phase #3 Use the Comparative Balance Sheet you prepared in Phase #2 and the following additional information prepare the Statement of Cash Flows for the month of January 2019. The company has elected to use the indirect method to prepare the operating activities section. Issued 10,000 new shares of common stock in exchange for a piece of land. The stock was selling on the market at an average price of $10 per share on the date of sale and the par value of the stock was 50 cents Purchased land with a cost $250,000. A down payment was made in the amount of $50,000 cash and a 10% 5-year note payable was signed for the difference. Purchased additional store equipment for $50,000 paying cash The $10,000 notes receivable was related to the sale of merchandise inventory to a credit customer this period. Hint: The increase in notes receivable should be reported in the operating activities section of the statement of cash flows. Issued bonds with a face amount of $800,000 at 97. Hint: The amortization o the bond $100 should be reported discount in the amount an addition to the operating activities section. Used the cash proceeds from the bond issue to pay off the mortgage payable of $200,000. the open market for $9 per The company repurchased 20,000 shares of its common stock share. The company reissued 12,000 of the treasury shares at a price of $15 per share. Issued 1,500 shares of preferred stock at $105 per share. Paid cash dividends of $31,060 to preferred and common stockholders. Page 2 of 6 775 words 100sc 924 PM O Type here to search a 7/13/2019 comparative balance sheet - Excel X eric carson AutoSave Tell me what you want to do Share File Home Insert Page Layout Formulas Data Review View Help AutoSumA O Cut -11 A b Wrap Text Calibri General ECopy Paste Format Painter Fill Merge & Center Conditional Format as Cell Insert Delete Format Sort & Find & A. BIU % EE Clear: Select Styles Formatting Dle Clipboard Font Alignment Number Stvles Cells Editing E30 M N F G O C 21 Interest receivable 60.00 $1,757,880.00 $896,250.00 $550.130.00 29.01% 22 total assests 23 Liabilities 0.00 % $25,000 25.000 24 accounts payable 25 bonds payable 26 800.000 27 Notes payable 200,000 0.00% 28 income taxes payable interest payable total liabilities 7,500 7.500 29 4,778.00 $32,500 1.037.278 1004778 30 96.87 31 Stockholders' Equity 32 400 000 389% 250.000 150,000 5 000 Prelened 1 76% 24 105.000 100 000 50% 35 Paid in capital in excess of par: Preferred 15.000 7.500 7.500 57.14 % 36 Paid in capital in excess of par: common 166.250 5,000 71,250 Retained Earnings Total stockholder's equity 7.58% 37 58.252 85.000 -31.060 0.59% 38 744,502 513.750 226,440 39 40 41 Sheet1 E - Ready 100 9:24 PM a Type here to search 7/13/2019 |B. comparative balance sheet - Excel X eric carson AutoSave Tell me what you want to do Share File Home Insert Page Layout Formulas Data Review View Help AutoSumA O Cut -11 A b Wrap Text Calibri General ECopy Paste Format Painter Fill Merge & Center Conditional Format as Cell Insert Delete Format Sort & Find & A. BIU % EE Clear: Select Styles Formatting Dle Clipboard Font Cells Alignment Number Stvles Editing E30 M N C P G O C Comparative Balance Sheets December 31, 2018, and January 31, 2019 2 3 $millions Dollar change 2019 2018 Percent Change 5 Assets 6 $ 27,500.00 $ 40,000.00 $ 659,990.00 95.99% 7 Cash 687,490.00 (17,000.00) $(494,810.00) 73.91 % Accounts receivable 8 23,000.00 merchandise inventory $50,000.00 $64,250.00 $ 1,500.00 950.40% 5.190.00 350,000.00 $ (1,200.00) $ 414.250.00 10 land 84.49% office supplies 11 300.00 $400,000.00 12 building 400,000.00 0.00% $ 90,000.00 office equipment $ 90,000.00 0.00% 13 office equipment 2.500.00 1 58% 15 45 750 00 45.000.00 750.00 preciation, Building $ 75.000.00 $125,000.00 $50,000.00 16 40.00% store equipment 5.06 % 1.01 % accumulated depreciation, store equipment 15,000.00 17 15.800.00 800.00 $ 69,300.00 18 (700.00) (200.00) Patents 70,000.00 $ 3,000.00 prepaid insurance 7.14% 19 2,800.00 20 notes reclevable 10.000.00 $ 21 Interest receivable 60.00 $1.757,880.00 $896.250.00 22 total assests 550.130.0 29.019% Sheet1 E - Ready 1009 9:24 PM a Type here to search 7/13/2019 |B. accounting Saved to OneDrive- Delaware Technical Community College AutoSave eric carson Tell me what you want to do Share Page Layout File Home Insert Formulas Data Review View Help AutoSum A Cut -11 A ab Wrap Text Calibri General E Copy Paste Fill Conditional Format as Cell Insert Delete Format Sort & Find & A E Merge & Center BIU % Fomat Painter Clear: er Select Styles Formatting Dle Clipboard Font Cells Alignment Number Stvles Editing J17 A C G J K M N P T Statement of cash flows 4 For month ending January 31,, 2019 5. Cash flows from operating activities 7 8 9 Net income 4,312.00 83.100.00 10 Depreciation expense 11 Change in current assets and current liabilities 12 Decrease in accounts receivable 17,000.00 13 decrease in inventory 14 Decrease in accounts payable $ 494,810.00 $1.004.778.00 15 increase in income taxes payable by operating activities activities 17 lCach 18 Cash paid for equipment 50.000.00 19 net cash used in investing activities 20 cash flows from finiancing activities 21 cash paid to retire bonds payable 22 cash paid for dividends 23 cash balance at prior year-end 24 cash balance at current vear-end. Sheet1 $ 200.000.00 1.060.00 27,500.00 S 687.490.00 E - Ready 1009 9:23 PM a Type here to search 7/13/2019 X practice 1 accounting Excel eric carson AutoSave c Tell me what you want to do Share File Home Insert Page Layout Formulas Data Review View Help AutoSumA O Cut -11 A b Wrap Text Calibri Number ECopy Paste Format Painter Fill E Merge & Center- Conditional Format as Cell Insert Delete Format Sort & Find & A. BIU % Clear Select Styles Formatting Dle Clipboard Cells Font Alignment Number Stvles Editing f F29 -F9- F28 F C D E G M N O R S Prepared Inc. Income Statement 3 1-Jan-19 4 Sales 139,000 Less: Sales discount 5 800 sales retums & allowances 3.000 6 7 Net sales 135,200 Cost of goods solds 84,560 8 9 Gross profit 50,640 10 Operating expenses 11 Insurance expense 200 12 repairs expense 2,500 depreciation expense: building fice eq 1Be 2 50 14 15 supplies expense selling 1.200 16 Utilities expense: office 1.500 17 office salaries expense 15.000 18 office payroll tax expense 1.200 19 Depreciation Exp: Store Eq 800 20 Amortization expense 700 21 Sales Salaries Exoense 10.000 income Sheet2 E - Ready 100 11:28 PM a Type here to search 7/13/2019 m : AutoSave O A I love accounting Saved to this PC eric carson Tell me what you want to do Share File Home Insert Design Layout References Mailings Review View Help Cut Find Celibri (Body) 11 A A Aa - AaBbCcD AaBbCcDc AaBbC AaBbCcl AaB AaBbccc AaBbCcD AaBbCcD ECopy aste ab Replace A - -A- = == E- I U TNo Spac. Subtle Em... Emphasis abc X. * Heading 1 T Normal Heading 2 Title Subtitle Format Painter Select Clipboard Font Paragraph Styles Editing Be Prepared Ino December 31, 2018 Assats Labilities Cesh 27,500 Accounts Peysble 25,000 2yeble 50.000 Marte. Paabie 232 500 1,500 Total Liabilites Office Suppligs id Insurnce Building 400 Stockholder's Equity epreaation, Building d OPEF Accumulated Depreciation, Office Equipment (15,000 Paid in Capital in Excess of par: Prefered 7,500 Commor cs of par: Acumulated Depreciation, Store Equipment 15.000 at Patents 70,000 Tetal Stackholder's Equity 746250 Total Liabilities a 513,750 Total Assets d Stockholder's Equity 746 250 Page 4 of 6 775 words 1008% 11:25 PM a O Type here to search 7/13/2019 : AutoSave O A I love accounting Saved to this PC eric carson Tell me what you want to do Share File Home Insert Design Layout References Mailings Review View Help Cut Find Calibri (Body) 11 A A Aa AaBbCcD AaBbccDc AaBbC AaBbCcl AaB AaBbccc AaBbCcD AaBbCcD ECopy aste ab Replace A - -A- = == E- I U T Normal Subtle Em... Emphasis abc X. * Heading 1 TNo Spac.. Heading 2 Title Subtitle Format Painter Select Clipboard Font Paragraph Styles Editing Phase #3 Use the Comparative Balance Sheet you prepared in Phase #2 and the following additional information prepare the Statement of Cash Flows for the month of January 2019. The company has elected to use the indirect method to prepare the operating activities section. Issued 10,000 new shares of common stock in exchange for a piece of land. The stock was selling on the market at an average price of $10 per share on the date of sale and the par value of the stock was 50 cents Purchased land with a cost $250,000. A down payment was made in the amount of $50,000 cash and a 10% 5-year note payable was signed for the difference. Purchased additional store equipment for $50,000 paying cash The $10,000 notes receivable was related to the sale of merchandise inventory to a credit customer this period. Hint: The increase in notes receivable should be reported in the operating activities section of the statement of cash flows. Issued bonds with a face amount of $800,000 at 97. Hint: The amortization o the bond $100 should be reported discount in the amount an addition to the operating activities section. Used the cash proceeds from the bond issue to pay off the mortgage payable of $200,000. the open market for $9 per The company repurchased 20,000 shares of its common stock share. The company reissued 12,000 of the treasury shares at a price of $15 per share. Issued 1,500 shares of preferred stock at $105 per share. Paid cash dividends of $31,060 to preferred and common stockholders. Page 2 of 6 775 words 100sc 924 PM O Type here to search a 7/13/2019 comparative balance sheet - Excel X eric carson AutoSave Tell me what you want to do Share File Home Insert Page Layout Formulas Data Review View Help AutoSumA O Cut -11 A b Wrap Text Calibri General ECopy Paste Format Painter Fill Merge & Center Conditional Format as Cell Insert Delete Format Sort & Find & A. BIU % EE Clear: Select Styles Formatting Dle Clipboard Font Alignment Number Stvles Cells Editing E30 M N F G O C 21 Interest receivable 60.00 $1,757,880.00 $896,250.00 $550.130.00 29.01% 22 total assests 23 Liabilities 0.00 % $25,000 25.000 24 accounts payable 25 bonds payable 26 800.000 27 Notes payable 200,000 0.00% 28 income taxes payable interest payable total liabilities 7,500 7.500 29 4,778.00 $32,500 1.037.278 1004778 30 96.87 31 Stockholders' Equity 32 400 000 389% 250.000 150,000 5 000 Prelened 1 76% 24 105.000 100 000 50% 35 Paid in capital in excess of par: Preferred 15.000 7.500 7.500 57.14 % 36 Paid in capital in excess of par: common 166.250 5,000 71,250 Retained Earnings Total stockholder's equity 7.58% 37 58.252 85.000 -31.060 0.59% 38 744,502 513.750 226,440 39 40 41 Sheet1 E - Ready 100 9:24 PM a Type here to search 7/13/2019 |B. comparative balance sheet - Excel X eric carson AutoSave Tell me what you want to do Share File Home Insert Page Layout Formulas Data Review View Help AutoSumA O Cut -11 A b Wrap Text Calibri General ECopy Paste Format Painter Fill Merge & Center Conditional Format as Cell Insert Delete Format Sort & Find & A. BIU % EE Clear: Select Styles Formatting Dle Clipboard Font Cells Alignment Number Stvles Editing E30 M N C P G O C Comparative Balance Sheets December 31, 2018, and January 31, 2019 2 3 $millions Dollar change 2019 2018 Percent Change 5 Assets 6 $ 27,500.00 $ 40,000.00 $ 659,990.00 95.99% 7 Cash 687,490.00 (17,000.00) $(494,810.00) 73.91 % Accounts receivable 8 23,000.00 merchandise inventory $50,000.00 $64,250.00 $ 1,500.00 950.40% 5.190.00 350,000.00 $ (1,200.00) $ 414.250.00 10 land 84.49% office supplies 11 300.00 $400,000.00 12 building 400,000.00 0.00% $ 90,000.00 office equipment $ 90,000.00 0.00% 13 office equipment 2.500.00 1 58% 15 45 750 00 45.000.00 750.00 preciation, Building $ 75.000.00 $125,000.00 $50,000.00 16 40.00% store equipment 5.06 % 1.01 % accumulated depreciation, store equipment 15,000.00 17 15.800.00 800.00 $ 69,300.00 18 (700.00) (200.00) Patents 70,000.00 $ 3,000.00 prepaid insurance 7.14% 19 2,800.00 20 notes reclevable 10.000.00 $ 21 Interest receivable 60.00 $1.757,880.00 $896.250.00 22 total assests 550.130.0 29.019% Sheet1 E - Ready 1009 9:24 PM a Type here to search 7/13/2019 |B. accounting Saved to OneDrive- Delaware Technical Community College AutoSave eric carson Tell me what you want to do Share Page Layout File Home Insert Formulas Data Review View Help AutoSum A Cut -11 A ab Wrap Text Calibri General E Copy Paste Fill Conditional Format as Cell Insert Delete Format Sort & Find & A E Merge & Center BIU % Fomat Painter Clear: er Select Styles Formatting Dle Clipboard Font Cells Alignment Number Stvles Editing J17 A C G J K M N P T Statement of cash flows 4 For month ending January 31,, 2019 5. Cash flows from operating activities 7 8 9 Net income 4,312.00 83.100.00 10 Depreciation expense 11 Change in current assets and current liabilities 12 Decrease in accounts receivable 17,000.00 13 decrease in inventory 14 Decrease in accounts payable $ 494,810.00 $1.004.778.00 15 increase in income taxes payable by operating activities activities 17 lCach 18 Cash paid for equipment 50.000.00 19 net cash used in investing activities 20 cash flows from finiancing activities 21 cash paid to retire bonds payable 22 cash paid for dividends 23 cash balance at prior year-end 24 cash balance at current vear-end. Sheet1 $ 200.000.00 1.060.00 27,500.00 S 687.490.00 E - Ready 1009 9:23 PM a Type here to search 7/13/2019