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Prepare a cash flow statement. Prestige Worldwide Corporation Comparative Balance Sheets (in millions of dollars) 20X2 20X1 Change 43 $ 60 $ 17 9 11
Prepare a cash flow statement.
Prestige Worldwide Corporation Comparative Balance Sheets (in millions of dollars) 20X2 20X1 Change 43 $ 60 $ 17 9 11 7 12 2 1 1 18 19 Cash Current Assets: Accounts receivable Inventory Prepaid Insurance Non-Current Assets: Long-term investments Property, plant and equipment Less accumulated depreciation Property, plant and equipment, net Total assets 3 58 (33) 25 $126 5 47 (18) 29 $89 2 11 15 4 $ 31 7 8 $ 37 6 10 6 1 2 Liabilities & Stockholders' Equity Current Liabilities: Accounts payable Accrued liabilities Income taxes payable Non-Current Liabilities: Bonds payable Stockholders' equity: Common stock Retained earnings Total liabilities and equity 17 15 2 12 51 $126 12 9 $89 0 42 37 Prestige Worldwide Corporation Income Statement, 20X2 (in Millions of dollars) Sales..... $650 Cost of goods sold 425 Gross margin ...... 225 Selling and administrative expenses 170 Net operating income... 55 Nonoperating items: Gain on sale of investments..... Gain on sale of equipment. 8 Income before taxes. 64 Income taxes..... (15) Net income....... $ 49 Additional Information: The gain on sale of equipment consisted of the sale of equipment that had originally cost $25 million. The equipment was sold for cash. The equipment had accumulated depreciation of $6 million. 1 1 They also sold investments that originally cost $12 million for cash. Additional information: It did not retire any bonds or repurchase any of its own common stock during the year
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