number 1 (complete statement) and 2 (spreadsheet)

Required information (The following information applies to the questions displayed below) Forten Company's current year income statement, comparative balance sheets, and additional information follow For the year. (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory, and (5) Other Expenses are paid in advance and are initially debited to Prepaid Expenses FORTEN COMPANY Comparative Balance Sheets December 31 Current Year Prior Year Assets Cash Accounts receivable Inventory Prepaid expenses Total current astets Equipment Accum depreciation Equipment Total assets abilities and Equity Accounts payable $ 79,90 95,970 395,655 1.410 482,936 137,500 46,625 $ 93,500 70,625 271,800 2.295 438,220 128,000 (56,000 5 510,220 5 73.141 $ 144,675 Save Help Savo & Ch PUKIER LUPANY Comparative Balance Sheets December 31 Current Year Prior Year $ 79,900 95,970 305,656 1,410 482,936 137,500 (46,625) $ 573,811 $ 93,500 70,625 271,800 2.295 438,220 128, eee (56,000) $ 510,220 Assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Equipment Accum. depreciation-Equipment Total assets Liabilities and Equity Accounts payable Short-term notes payable Total current liabilities Long-term notes payable Total liabilities Equity Common stock, 55 par value Paid-in capital in excess of par common stock Retained earnings Total Habilities and equity $ 73,141 16,000 89, 141 55,000 144,141 $ 144,675 10,000 154,675 68,750 223,425 170,250 192,75e 67,500 169,420 $ 573,811 115,545 5510,220 FORTEN COMPANY Help Save Exit Check $ 682,582 305, Bee 377,500 FORTEN COMPANY Income Statement For Current Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses Depreciation expense $ 40,750 other expenses 152,400 Other gains (losses) Loss on sale of equipment Income before taxes Income taxes expense Net income 193, 15e (25.125) 159,225 52,250 $ 106,975 Additional Information on Current Year Transactions a. The loss on the cash sale of equipment was $25,125 (details in b). b. Sold equipment costing $106,875, with accumulated depreciation of $50,125. for $31,625 cash c. Purchased equipment costing $116,375 by paying $70,000 cash and signing a long-term note payable for the balance d. Borrowed $6,000 cash by signing a short-term note payable. e. Pald $60.125 cash to reduce the long term notes payable. f. Issued 4,500 shares of common stock for $20 cash per share Additional Information on Current Year Transactions a. The loss on the cash sale of equipment was $25,125 (details in b. Sold equipment costing $106,875, with accumulated depreciation of $50125, for $31,625 cash c. Purchased equipment costing $116,375 by paying $70,000 cash and signing a long-term note payable for the balance d. Borrowed $6,000 cash by signing a short-term note payable e. Paid $60.125 cash to reduce the long-term notes payable 1. Issued 4,500 shares of common stock for $20 cash per share g. Declared and paid cash dividends of $54,100 Required: 1. Prepare a complete statement of cash flows using the Indirect method for the current year (Amounts to be deducted should be indicated with a minus sign) FORTEN COMPANY Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities 2 Next > Check my work Required: 1. Prepare a complete statement of cash flows using the Indirect method for the current year (Amounts to be deducted should be indicated with a minus sign.) FORTEN COMPANY statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operation 5 Prey 1 2 of 2 ! Next > ENG Required information 02 $ pped Cash flows from investing activities Took 0 Cash flows from financing activities $ Net increase (decrease in cash Required information 0 Cash flows from financing activities: 0 $ 0 Net increase (decrease) in cash Cash balance at December 31, prior year Cash balance at December 31, current year $ Required: 1. Prepare a complete statement of cash flows using the indirect method for the current year. (Amounts to b indicated with a minus sign.) FORTEN COMPANY Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities operations Net income Net loss Prev 2 ht quired information For Current Year Ended December flows from operating activities djustments to reconcile net income to net cash provided by opera Accounts payable decrease Accounts payable increase Accounts receivable decrease Accounts receivable increase Cash borrowed on short-term note ash flows from investing activities Cash paid for dividends Cash paid for equipment Cash paid on long-term note Cash received from issuing stock Cash received from sale of equipment Cash flows from investing activities Adjustments to reconcile net income to net cash provided by oper Depreciation expense Income taxes payable decrease Income taxes payable increase Inventory decrease Inventory increase Cash flows from investing activities Adjustments to reconcile net income to net cash provided by ope Loss on disposal of equipment Notes payable long-term decrease Notes payable long-term increase Prepaid expense decrease Prepaid expense increase Cash flows from investing activities US WE FM For Current Year Ended Decembe Cash flows from operating activities Adjustments to reconcile net income to net cash provided by op Notes payable long-term increase Prepaid expense decrease Prepaid expense increase Salaries payable decrease Salaries payable increase Cash flows from investing activities Required: Prepare a complete statement of cash flows using a spreadsheet using the indirect method (Enter all amounts as positive values.) FORTEN COMPANY Spreadsheet for Statement of Cash Flows For Current Year Ended December 31 Analysis of Changes December 31. Prior Debit Credit Year December 31 Current Your $ 70.900 Balance sheet-dobit Cash Accounts receivable Inventory Prepaid exponses Equipment 93,500 70.825 271,800 2.295 128.000 580,220 79.000 S 56.000 Balance sheet credit Accumulated depreciation Equipment 2 of 2 NE Proy ING December 31. Prior Year Debit Credit December 31 Gurrent Year $ S 79,900 Balance sheetdobit Cash Accounts receivable Inventory Prepaid expenses Equipment 93,500 70,625 271.800 2.295 $ 128,000 566.220 $ 79.900 $ Balance sheet credit Accumulated depreciation-Equipment Accounts payable Short-term notes payable Long-term notas payable Common stock, $5 par value Paid-in capital in excess of par value, common stock Retained earnings 56.000 144.675 10,000 68,750 170.250 0 116.545 Required information Retained earnings 116,545 566,220 $ $ Statement of cash flows Operating activities Investing activities Financing activities Required information Investing activities Financing activities Non cash investing and financing activities Purchase of equipment financed by long-term note payable S 0 S 0 $ Statement of cash flows Operating activities Borrowed on long-term note Borrowed on short-term note Cash paid for inventory Cash paid for prepaid expenses Cash receipts from customers Required information Retained earnings $ Statement of cash flows Operating activities Decrease in accounts payable Decrease in accounts receivable Decrease in inventory Decrease in prepaid expenses Depreciation expense Increase in accounts payable Increase in accounts receivable Increase in inventory Increase in prepaid expenses Issued common stock for cash Operaung meling Loss on sale of equipment Net income Payment of cash dividends Payment on long-term note Payment on short-term note Payment of cash dividends Payment on long-term note Payment on short-term note Payment to purchase equipment Receipt from sale of equipment