Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

prepare a statement of cash flow using the indirect method Condensed financial data of Shamrock Company for 2020 and 2019 are presented below. SHAMROCK COMPANY

prepare a statement of cash flow using the indirect method
image text in transcribed
image text in transcribed
Condensed financial data of Shamrock Company for 2020 and 2019 are presented below. SHAMROCK COMPANY COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2020 AND 2019 2020 2019 Cash $1,770 $1,170 Receivables 1,780 1,300 1,570 1,880 Inventory Plant assets 1,870 1.710 (1,210) (1,190) Accumulated depreciation Long-term investments (held-to-maturity) 1.290 1.430 $7.070 $6,300 Accounts payable $1,200 $900 Accrued liabilities 200 250 1.430 1,580 Bonds payable Common stock 1.860 1,730 Retained earnings 2,380 1.840 $7.070 $6.300 1 n SHAMROCK COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2020 Sales revenue $6,820 Cost of goods sold 4,640 Gross margin 2. 180 Selling and administrative expenses 910 Income from operations 1,270 Other revenues and gains Gain on sale of investments 80 Income before tax 1,350 Income tax expense 550 Net income 800 Cash dividends 260 Income retained in business $540 Additional information: During the year. 580 of common stock was issued in exchange for plant assets. No plant assets were sold in 2020. Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with there signes parenthesis es (15,000) SHAMROCK COMPANY

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Forensic And Investigative Accounting

Authors: D. Larry Crumbley, Lester E. Heitger, G. Stevenson Smith

7th Edition

0808040731, 9780808040736

More Books

Students also viewed these Accounting questions

Question

e. What age client does the person see?

Answered: 1 week ago