PR $16-2$B Statement of Cash Flows

$(Obj\mathrm{.}2,3,4,5)$

The comparative balance sheet of Harris Industries Inc. at December $31,20$Y$4$ and $20$Y$3,$ is as follows:

Details

An examination of the income statement and the accounting records revealed the following additional information applicable to $20$Y$4$:

a$.$ Net income, $$524,580.$

b$.$ Depreciation expense reported on the income statement: buildings, $$51,660$; machinery and equipment, $$22,680.$

c$.$ Patent amortization reported on the income statement, $$5,040.$

d$.$ A building was constructed for $$579,600.$

e$.$ A mortgage note for $$224,000$ was issued for cash.

f$.30,000$ shares of common stock were issued at $$13$ in exchange for the bonds payable.

g$.$ Cash dividends declared, $$131,040.$

INSTRUCTIONS

Prepare a statement of cash flows, using the indirect method of presenting cash