P17.7A Presented below are the financial statements of Rajesh Company RAJESH COMPANY Comparative Balance Sheets December 31 Assets Cash Accounts receivable Inventory Equipment Accumulated depreciation equipment Total 2012 S 35.000 33.000 27.000 60.000 (29.0% ) S126.000 2011 S 20.000 14.000 20.000 78,000 (24.000) S108.000) Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total S 29.000 7.000 27.000 18.00 45.000 S126.000 $ 15.000 8.000 33.000 14.000 38.000 $108.000 RAJESH COMPANY Income Statement For the Year Ended December 31, 2012 Sales revenue S242.000 Cost of goods sold 175.000 Gross profit 67.00 Operating expenses 24.000 Income from operations 43.000 Interest expense 3.00 Income before income taxes ( XI Income tax expense Net income S 32.000 Auditional data: 1. Dividends declared and paid were $25.000. .. During the year equipment was sold for $8.500 cash. This equipment cost $18.000 originally and had a book value of $8.500 at the time of sale. 3. All depreciation expense. S14.500. is in the operating expenses. 4. All sales and purchases are on account. structions a Prepare a statement of cash flows using the indirect method. Assets Cush Accounts receivable Inventory Prepaid expenses Investments Plant assets Accumulated depreciation Total 2012 S 90.800 92.800 112.500 28.400 138.00 270.000 (50.000) S682.500 2011 S 48,4) 33.0) 102.850 26.0% 114,0 242.500 (52.1X1 $314.750 Liabilities and Stockholders' Equity Accounts payable Accrued expenses payable Bonds pavable Common stock Retained earnings Total S112.000 16.500 110. 01) 220,000 224.00 S 67.300) 17.00) 1500 175.00 105.450 S54.750 S692 500 5392.780 SINJH INC. Income Statement For the Year Ended December 31, 2012 Sales Less: Cost of goods sold S135.460 Operating expenses, excluding depreciation 12.410 Depreciation expense 46.500 Income taxes 27.280 Interest expense 4.730 Loss on sale of plant assets 7.500 Net income 233.NNO S158.900 Additional information: 1. New plant assets costing 685.000 were purchased for cash during the year. 2. Old plant assets having an original cost of $57.500 were sold for $1.500 cash. 3. Bonds matured and were paid off at lace value for cash. 4. A cash dividend of $40.350 was declared and paid during the year. Instructions Prepare a statement of cash flows using the indirect thethod. P1210A Data for Sinjh Inc. are presented in P17.0A. Further analysis reveals that ac payable pertain to merchandise creditors, Instructions Prepare a statement of cash flows for Sinjh Inc, using the direct method