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Prepare a statement of cash flows for Adams Company. Use the information below. Adams Company Comparative Balance Sheets December 31 Assets 2019 2018 Cash $102,000
Prepare a statement of cash flows for Adams Company. Use the information below. Adams Company Comparative Balance Sheets December 31 Assets 2019 2018 Cash $102,000 $48,000 Accounts receivable 32,000 42,000 Inventories 100,000 68,000 Investment in stock 50,000 Land 280,000 180,000 Equipment 200,000 140,000 Accumulated depreciation (53,000) (28,000) Total $661.000 $500.000 52,000 55,000 Liabilities & Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock ($5 par) Retained earnings Total 62,000 12,000 200,000 100,000 126,000 $500,000 200,000 354,000 $661,000 Adams Company Income Statement For the Year Ended December 31, 2019 Revenues $2,200,000 Loss on sale of investment _ 5,000 Total revenues $2,195,000 Expenses: Cost of goods sold 1,100,000 Operating expenses 475,000 Income tax expense 217,000 Total expenses 1,792,000 Net income $403,000 Additional information: Sold an investment in stock. Purchased land by issuing $100,000 of common stock. Purchased equipment. Retired the balance in bonds payable during 2019 Declared and paid a cash dividend. Operating expenses include depreciation expense of $25,000
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