NEED ON A EXCEL DOCUMENT

The purpose of a statement of cash flows is to provide relevant information about a company's

cash inflows and outflows for a period that assists investors and creditors in projecting the

company's future cash flows. You will use the financial statements related to Appleton

Corporation presented in the data set file and the additional information below to prepare the

current year statement of cash flows.

Additional information about events in the current year:

a$.$ On January $1,2022,$ the fair value of the portfolio of short$-$term investments in debt

securities$,$ classified as available$-$for$-$sale, equaled cost. During the year, investments

carried at $$3,000$ were sold for $$6,000.$ No securities were purchased during the year. At

December $31,2022,$ the fair value of the portfolio is $$5,000.$

b$.$ Cash equivalents were continually purchased and sold at cost$.$ No gains or losses were

incurred.

c$.$ $$20,000$ of Accounts Receivable was written off during $2022$ and $$3,000$ was collected

on an account written off in the prior year. All sales are on account.

d$.$ The long$-$term investment represents $25\%$ equity interest in Collins Group, Inc. and is

accounted for under the equity method, purchased at book value. During $2022,$ Collins

Group, Inc. paid $$100,000$ of dividends and reported net income of $$120,000.$

e$.$ At the end of $2022,$ Appleton acquired land for $$100,000$ by assuming an $$80,000$

mortgage and paying the balance in cash.

f$.$ Equipment with an original cost of $$20,000$ was sold for $$15,000.$ The equipment had a

book value of $$8,000$ at the time of the sale.

g$.$ Appleton started and completed the construction of equipment for its own use during

The cost of the finished equipment, $$50,000,$ includes $$5,000$ of capitalized

interest.

h$.$ Appleton entered into a finance lease on January $1,2022,$ recording a right$-$of$-$use assets

and a lease liability for $$75,816.$ The interest rate used to capitalize the lease is $10\%.$

Equal annual payments of $$20,000$ are due each December $31$ for five years. Interest

expense in the current year income statement includes interest on the lease liability of

$$7,582.$

i$.$ The bonds were retired before maturity at a $$20,000$ gain, before taxes. Discount

amortized during the year, $$4,000.$

AC $400$ Intermediate Accounting III, Spring $2024$

j$.$ Appleton declared $$70,000$ of dividends during the year.

Requirements:

Assuming the direct method in presenting cash flows from operating activities, on a

separate worksheet to analyze the cash received and cash paid for operating, investing,

and financing activities for the current year. You can use a spreadsheet $($see Exhibit $21-$

$9A$ in textbook$),$ T$-$account format, journal entry, or the 'BASE' approach in your

analysis. I must be able to tie in your analysis to the statement of cash flows. Label the

worksheet "ActivitiesSum".

Based on the calculation outcomes in Requirement $1$ and the additional information

prepare the current year statement of cash flows using the direct method for the operating

section on a separate worksheet. The statement should be professionally prepared using

the appropriate headings. Include a disclosure reconciling net income to cash flows from

operating activities. Label the worksheet $"$SCF$2022".$

The worksheets should be formatted with appropriate numeric values using accounting

format with zero decimals. Also, you should include proper titles on worksheets and

display in a professional style.

Use cell referencing and appropriate formulas in creating worksheets.