Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Odessa Company uses the indirect method to prepare its statement of cash flows Please refer to the following information extracted from the comparative balance sheet

image text in transcribed
Odessa Company uses the indirect method to prepare its statement of cash flows Please refer to the following information extracted from the comparative balance sheet for the company 2018 2017 Increasel(decrease) Accounts payable $35,000 $52,000 ($17,000) Accrued liabilities 18,000 10,000 $8,000 Long-term notes payable 168,000 180,000 ($12,000) Total liabilities $221,000 $242,000 ($21,000) Common stock Retained earnings Treasury stock Total equity 100.000 61,000 226,000 148,000 (18,500) (12,400) $307,500 $196,600 $39,000 $78,000 ($6,100) $110,900 $89,900 Total liabilities and equity $528,500 $438,600 Additional information provided: Dividend paid for 2018 amounted to $12,500. Net income for 2018 was $98,000 During 2018, the company repaid $80,000 of long-term notes payable. During 2018, the company borrowed $68,000 on a new note payable There were no stock retirements during 2018. Requirement: Using the indirect method, prepare a schedule for the financing section (only) of the statement of cash flows for December 2018

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

Step: 3

blur-text-image

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

Accounting The Ultimate Guide To Accounting Principles

Authors: Greg Shields

1st Edition

1722964839, 978-1722964832

More Books

Students also viewed these Accounting questions

Question

What level of candor do decision makers require?

Answered: 1 week ago