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Prepare a statement of cash flows for 2020 using the indirect method. Rodriquez Corporations comparative balance sheets are presented below: RODRIQUEZ CORPORATION Comparative Balance Sheets
Prepare a statement of cash flows for 2020 using the indirect method.
Rodriquez Corporations comparative balance sheets are presented below:
RODRIQUEZ CORPORATION Comparative Balance Sheets December 31 | ||||||
2020 | 2019 | |||||
Cash | $16,900 | $17,300 | ||||
Accounts receivable | 25,200 | 22,400 | ||||
Investments | 20,150 | 15,950 | ||||
Equipment | 60,250 | 70,250 | ||||
Accumulated depreciationequipment | (13,850 | ) | (10,400 | ) | ||
Total | $108,650 | $115,500 | ||||
Accounts payable | $14,450 | $11,150 | ||||
Bonds payable | 10,200 | 30,200 | ||||
Common stock | 50,100 | 44,700 | ||||
Retained earnings | 33,900 | 29,450 | ||||
Total | $108,650 | $115,500 |
Additional information:
1. | Net income was $18,550. Dividends declared and paid were $14,100. | |
2. | Equipment which cost $10,000 and had accumulated depreciation of $1,500 was sold for $3,500. | |
3. | No noncash investing and financing activities occurred during 2020. |
Here's what I have so far:
For the Year Ended December 31, 2020 Cash Flows from Operating Activities Net Income 18550 Adjustments to reconcile net income to Net Cash Provided by Operating Activities Depreciation Expense Loss on Disposal of Plant Assets Increase in Accounts Receivable Increase in Accounts Payable Net Cash Provided by Operating Activities Cash Flows from Investing Activities Purchase of Investments Sale of Equipment Net Cash Used by Investing Activities Cash Flows from Financing Activities Payment of Dividends Retirement of Bonds Issuance of Common Stock Cash Flows from Financing Activities Net Decrease in Cash Cash at Beginning of Period Cash at End of PeriodStep by Step Solution
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