List Paragraph 112 56 6. (20 points) The Sky Company's income statement and comparative balance sheets as of December 31 of 2019 and 2018 are below. During the year the following transactions occurred: 1. Sold long-term investments for $60,000 2. Purchased land for cash 3. Capitalized an expenditure made to improve the building 4. Sold equipment for $14,000 cash that originally cost $46,000 5. Issued bonds payable at face value for cash 6. Declared and paid a cash dividend 7. Issued 3,000 shares of common stock for cash at $8 per share 8. Recorded depreciation of $16,000 on buildings and $23,000 on equipment. Required a.) Prepare a statement of cash flows for the year ended December 31, 2019 SKY COMPANY Income Statement For Year Ended December 31, 2019 Sales $ 800,000 Dividend Income 19,000 819,000 Cost of Goods Sold $440,000 Wages and other operating expenses 130,000 Depreciation expense 39,000 Patent amortization expense 7,000 Interest expense 13,000 Income tax expense 30,000 Loss on sale of equipment 5,000 Gain on sale of investments (10,000) 654.000 Net Income $ 165.000 Print i avout View Sec 1 Paans: 3 of 5 Words: R13 of ARO OR / OAO?XO Liat Paragraph SKY COMPANY BALANCE SHEET For the year ended December 31, 2019 Dec. 31, Dec. 31, 2019 2018 Assets Cash and cash equivalents $ 63,000 $ 29,000 Accounts Receivable 45,000 35,000 Inventory 100,000 77,000 Prepaid expenses 10,000 6,000 Long-term investments 50,000 Land 190,000 100,000 Buildings 445,000 350,000 Accumulated Depreciation-Buildings (91,000) (75,000) Equipment 179,000 225,000 Accumulated Depreciation-Equipment (42,000) (46,000) Patents 50,000 32,000 Total Assets $ 949,000 $783,000 Liabilities and Stockholders' Equity Accounts payable Interest payable Income tax payable Bonds payable Preferred stock ($100 par value) Common stock (55 par value) Paid-in-capital in excess of par - Common Retained earnings Total liabilities and stockholders' equity $ 21,000 $ 18,000 6,000 5,000 8,000 12,000 135,000 130,000 100,000 75,000 379,000 364,000 133,000 124,000 167,000 55,000 S949.000 $783.000