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NeoGothic Corp Cash Flow Worksheet For the Year Ended December 31, 2018 Adjustments dr DEBITS Cash or AR Investment Building Equipment Patents Balance 12/31/17 23.000

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NeoGothic Corp Cash Flow Worksheet For the Year Ended December 31, 2018 Adjustments dr DEBITS Cash or AR Investment Building Equipment Patents Balance 12/31/17 23.000 212.000 0 150,000 90,000 40,000 515,000 Balance 12/31/18 85,500 241,000 16,000 177,000 70,000 37,500 627,000 CREDITS AD -Building AD - Equipment AP Income Taxes Payable Interest Payable SIT Notes Payable (nontrade) Common Stock Additional Paid-in Capital RE 30,000 11,000 123,000 27,000 3.200 96,800 130,000 50,000 44,000 515,000 34,000 12,000 138,000 25,000 1,300 112.700 150,000 60,000 94,000 627,000 Cash Flows from Operating Actitivities 0 lot of Significant Noncash Transactions 0 Following are the trial balances for NeoGothic Corp. $ Cash Accounts Receivable Investment (Long-term) Building Accum. Depreciation -- Bldg. Equipment Accum. Depreciation -- Equip. Patents Accounts Payable Income Taxes Payable Interest Payable S/T Notes Payable (nontrade) Common Stock Additional Pald-In Capital Retained Earnings 12/31/17 dr Cr 23,000 212.000 - 0 150,000 $ 30,000 90,000 11,000 40,000 123,000 27,000 3,200 96,800 130,000 50,000 44,000 12/31/18 dr cr $ 85,500 241,000 16,000 177,000 $ 34,000 70,000 12,000 37,500 138,000 25,000 1,300 112,700 150,000 60,000 94,000 $ 515,000 $ 515,000 $ 627,000 $ 627,000 During 2018 - Investments consist of common stock of several other companies. The company received $1,400 cash in dividend revenue from the investments in 2018. This amount is included in net income. - The company sold equipment that cost $20,000 and was 40% depreciated for $10,000 cash - The company recorded depreciation expense. (Analyze the change in A/D) - The company constructed an addition to the building. - The company amortized the patent cost with the following entry: Amortization Expense 2,500 Patent - The company paid $86,000 (principal) on its short-term nontrade notes payable during the year, and paid in cash a total of 57,200 in interest expense incurred during the year. (This last point is a trick: the $7,200 does not get put on the worksheet. Why might that be so?) - The company issued 8,000 shares of its $2.50 par value common stock for $3.75 per share -Dividends of $5,000 were declared and paid - Net Income for the year ended December 31, 2018, totalled $55,000 2,500 INSTRUCTIONS: Complete the cash flow worksheet for NeoGothic for the year ended December 31, 2018

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