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prepare a complete statement of cash flows for calendar-year 20X2 using the indirect method. Statement of Cash Flows (20 points) The following information is available
prepare a complete statement of cash flows for calendar-year 20X2 using the indirect method.
Statement of Cash Flows (20 points) The following information is available for Martin Sales Corporation: Martin Sales Corporation Balance Sheets At December 31 oXi 20X220X1 Assets: 24,640 23,040 32,18029,40 Cash Accounts receivable Merchandise inventory Long-term investments quipment 61,71 56,4 73,12 55,90 175,500 145,5 (33.5 (31.200 $327,795 $284 850 Accumulated depreciation Total assets Liabilities: Accounts payable Income taxes payable Bonds payable $ 65,000 40,380 10,2 10,72 48 Total liabilities $124,475 $116,580 Common stock Paid-in capital in excess of par Retained earnings 117,000 96 13,00 9,000 63 Total equity Total liabilities and equity $203.320 8200$168 27 $327.795 $284 850 Martin Sales Corporation Income Statement For Year Ended December 31,20x2_ Sales Cost of goods sold Depreciation expense Other operating expenses nterest expense Other gains (losses): $80,900 29.400 800060.300 Loss on sale of equipment ncome before taxes ncome taxes expense Net income 71,30 Additional information: There was no gain or loss on the sales of the long-term investments, nor on the bonds retired. (2) Old equipment with an original cost of $37,550 and book value of $10,500 was sold at a $8,400 loss. (3Y New equipment was purchased for $67,550 cash. (4) Cash dividends were paid out of retained earnings. (5) Additional shares of stock were issued for cash. Prepare a complete statement of cash flows for calendar-year 20X2 using the indirect method Step by Step Solution
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