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Please make new NEED FULL ANSWER PLEASE read full question carefully then give answer AND DONT DO ON PAPER BY PEN DO BY TYPING dont
Please make new NEED FULL ANSWER PLEASE read full question carefully then give answer AND DONT DO ON PAPER BY PEN DO BY TYPING dont waste my question I GIVE YOU 2 LIKES
Question 1: (10 marks: operating 3 marks, investing 3 marks, financing 3 marks and cash variation 1 mark). Comparative balance sheets for Sigma Company are presented below. Sigma Company Comparative Balance Sheets December 31 Assets Cash Supplies Inventories Land Equipment Accumulated Depreciation 2020 $ 58,000 85,000 180,000 80,000 260,000 (66,000) $597,000 2019 $ 22,000 94,000 171,000 100,000 200,000 (42,000 $545,000 Liabilities and stockholders' equity Accounts payable Bonds payable Common stock, $1 par Retained earnings Total $ 34,000 150,000 194,000 219,000 $597,000 $ 47,000 200,000 164,000 134,000 $545,000 Additional information: 1. Operating expenses include depreciation expenses of $24,000. 2. Cash dividends of $40,000 were paid. 3. Net income for 2020 was $125,000. 4. Common stock was issued for $30,000 cash. 5. Bonds payable amounting to$50,000 were retired for cash $50,000. 6. Land valued $20,000 was sold for cash at book value 7. Equipment with a cost of $60,000 was purchased for cash. Instructions: Prepare a cash-flow statement for 2020 using the indirect method. Question 1: (10 marks: 3 marks for operating cash, 3 marks for investing cash, 3 marks for financing cash and 1 mark for cash variation). 2
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