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Please show all works, thanks in advance Comparative balance sheet accounts of Nash Inc. are presented below. NASH INC. COMPARATIVE BALANCE SHEET ACCOUNTS AS OF
Please show all works, thanks in advance
Comparative balance sheet accounts of Nash Inc. are presented below. NASH INC. COMPARATIVE BALANCE SHEET ACCOUNTS AS OF DECEMBER 31, 2020 AND 2019 December 31 Debit Accounts 2020 2019 Cash $41,900 $34,100 Accounts Receivable 70,400 60,300 Inventory 29,900 24,000 Equity investments 22,100 38,300 Machinery 30,200 18,900 Buildings 67,900 56,800 Land 7,400 7,400 $269,800 $239,800 Credit Accounts Allowance for Doubtful Accounts Accumulated Depreciation-Machinery Accumulated Depreciation-Buildings Accounts Payable Accrued Payables Long-Term Notes Payable Common Stock, no-par Retained Earnings $2,200 5,600 13,400 35,300 3,400 21,000 150,000 38,900 $269,800 $1,500 2,200 8,900 24,700 2,600 30,800 125,000 44,100 $239,800 Additional data (ignoring taxes): 1. Net income for the year was $40,900. 2. Cash dividends declared and paid during the year were $21,100. 3. A 20% stock dividend was declared during the year. $25,000 of retained earnings was capitalized. Equity investments (level of ownership is less than 20%) that cost $25,200 were sold during the year for $29,000. No * unrealized gains and losses were recorded on these investments in 2020. 5. Machinery that cost $3,700, on which $750 of depreciation had accumulated, was sold for $2,150. (b) Prepare a statement of cash flows 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).) NASH INC. Statement of Cash Flows (Indirect Method) Adjustments to reconcile net income toStep by Step Solution
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