Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please help show work for all the highlited in yellow. please show calculations i need it for homework. ty Preparation of a Statement of Cash

please help show work for all the highlited in yellow. please show calculations i need it for homework. ty image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Preparation of a Statement of Cash Flows and a Balance Sheet Lansbury Inc. had the following balance sheet at December 31, 2019. Assets Cash Accounts receivable Investments Plant assets (net) Land Landsbury Inc. Balance Sheet December 31, 2019 Liabilities and Stockholders' Equity $ 20,000 Accounts payable $ 30,000 21,200 Notes payable (long-term) 41,000 32,000 Common stock 100,000 81,000 Retained earnings 23,200 40,000 $ 194,200 $ 194,200 During 2020, the following occurred. "1. Lansbury Inc. sold part of its debt investment portfolio for $15,000. This transaction resulted in a gain of $3,400 for the firm. The company classifies its investments as available-for-sale. 2. Atract of land was purchased for $13,000 cash 3. Long-term notes payable in the amount of $16,000 were retired before maturity by paying $16,000 cash 4. An additional $20,000 in common stock was issued at par 5. Dividends of $8,200 were declared and paid to stockholders. 6. Net income for 2020 was $32,000 after allowing for depreciation of $11,000. 7. Land was purchased through the issuance of $35,000 in bonds. 8. At December 31, 2020, Cash was $37,000, Accounts Receivable was $41,600, and Accounts Payable remained at $30,000. - Instructions (a) Prepare a statement of cash flows for 2020. 8 LANSBURY INC Statement of Cash Flows For the Year Ended December 31, 2020 Cash flows from operating activities 5 5 7 8 9 0 Cash flows from investing activities 1 -2 3 14 a5 56 47 48 49 50 51 52 53 54 55 56 57 58 Cash flows from financing activities Cash flows from financing activities 5 Noncash investing and financing activities 3 (b) Prepare an unclassified balance sheet as it would appear at December 31, 2020. Calculation of balance sheet amounts: Investments: 1 2 3 4 5 6 7 Plant assets: 8 "9 30 31 32 Plant assets Land Notes payable: Bonds payable Common stock + Retained earnings LANSBURY INC. Balance Sheet December 31, 2020 Liabilities and Stockholders' Equity Assets (c) How might the statement of cash flows help the user of the financial statements

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_2

Step: 3

blur-text-image_3

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

Financial Accounting For Decision Makers

Authors: Mark DeFond

2nd Edition

1618533142, 9781618533142

More Books

Students also viewed these Accounting questions

Question

How does selection differ from recruitment ?

Answered: 1 week ago

Question

3. Where is the job to be accomplished?

Answered: 1 week ago