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PLEASE DO NOT FORGET THE COMPUTE FREE CASH FLOW. Exercise 12-08 a-b (Part Level Submission) Skysong, Inc.'s comparative balance sheets are presented below. Skysong, Inc.
PLEASE DO NOT FORGET THE COMPUTE FREE CASH FLOW.
Exercise 12-08 a-b (Part Level Submission) Skysong, Inc.'s comparative balance sheets are presented below. Skysong, Inc. Comparative Balance Sheets December 31 2019 Cash $ 14,900 Accounts receivable 21,500 Land 19,700 Buildings 70,100 Accumulated depreciation-buildings (14,800) Total $111,400 2018 $ 10,400 23,400 25,900 70,100 (10,700) $119,100 Accounts payable Common stock Retained earnings Total $ 12,100 75,400 23,900 $111,400 $ 28,300 73,600 17,200 $119,100 Additional information: 1. Net income was $22,400. Dividends declared and paid were $15,700. 2. No noncash investing and financing activities occurred during 2020. 3. The land was sold for cash of $4,900. Prepare a statement of cash flows for 2020 using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000, or in parenthesis e.g. (15,000).) Skysong, Inc. Statement of Cash Flows For the Year Ended December 31, 2020 Cash Flows from Operating Activities Net Income Adjustments to reconcile net income to Net Cash Provided by Operating Activities V Depreciation Expense Loss on Disposal of Plant Assets Decrease in Accounts Receivable Decrease in Accounts Payable Net Cash Provided by Operating Activities Cash Flows from Investing Activities Sale of Land Cash Flows from Financing Activities Payment of Dividends Issuance of Common Stock Net Cash Used by Financing Activities Net Increase in Cash Cash at Beginning of Period Cash at End of Period Compute free cash flow. (Enter negative amount using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)Step by Step Solution
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