Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

need some help Problem 2-Preparation of statement of cash flows (format provided). The balance sheets for Kinder Company showed the following information. Additional information concerning

need some help image text in transcribed
image text in transcribed
Problem 2-Preparation of statement of cash flows (format provided). The balance sheets for Kinder Company showed the following information. Additional information concerning transactions and events during 2021 are presented below. Additional data: 1. Net income for the year 2021,$61,000. 2. Depreciation on plant assets for the year, $12,700. 3. Sold the long-term investments for $33,000 (assume gain or loss is ordinary). 4. Paid dividends of $20,000. 5. Purchased machinery costing $26,500, paid cash. 6. Purchased machinery and gave a $60,000 long-term note payable. 7. Paid a $40,000 long-term note payable by issuing common stock. Instructions Using the format provided on the next page, prepare a statement of cash flows (using the indirect method) for 2021 for Kinder Company. Kinder Company Statement of Cash Flows For the Year Ended December 31, 2021 Increase (Decrease) in Cash Cash flows from operating activities Net income Adjustments to reconcile net income to net cash provided by operating activities: Net cash provided (used) by operating activities Cash flows from investing activities Net cash provided (used) by investing activities Cash flows from financing activities Net cash provided (used) by financing activities Net increase (decrease) in cash Cash, January 1, 2021 Cash, December 31, 2021

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

International Financial Management

Authors: Cheol Eun, Bruce Resnick

4th Edition

0072996862, 9780072996869

More Books

Students also viewed these Finance questions