Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Prepare a Statement of Cash Flows for the following company using the information below. Include: 1 page with your T-accounts used to roll forward non-operating

  • Prepare a Statement of Cash Flows for the following company using the information below.
  • Include:
    • 1 page with your T-accounts used to roll forward non-operating accounts
    • 1 page with your complete Statement of Cash Flows
      • Make sure every line item has a label and all elements of the statement are included.

image text in transcribed

Below are a balance sheet, income statement, and additional information of Calculator Corporation. Calculator Corporation Balance Sheet 2021 2020 Change Assets Cash 90,000 25,000 65,000 Accounts receivable 57,000 60,000 (3,000) Prepaid insurance 45,000 25,000 20,000 Land 18,000 35,000 (17,000) Equipment 70,000 60,000 10,000 Accumulated depreciation (20,000) (10,000) (10,000) Total Assets 260.000 195.000 Liabilities and Stockholders' Equity Accounts payable Interest Payable Bonds payable, net (issued at par) Common stock Retained earnings Total liabilities and stockholders' equity 13,000 5,000 2,000 1,000 27,000 19,000 140,000 115,000 78,000 55,000 260.000 195.000 8,000 1,000 8,000 25,000 23,000 Calculator Corporation Income Statement For the Year Ended December 31, 2021 Sales 300,000 Less: Cost of goods sold Operating expenses (excluding depreciation) Depreciation expense Income taxes Interest expense Loss on sale of land Gain on sale of equipment ? (100,000) ? (15,000) (13,000) ? 1,000 (269,000) 31.000 Net income (loss) 2 Additional information: 1. Cash dividends were declared and paid in 2021. 2. Land was sold for $10,000 cash. This was the only land transaction during the year. 3. Equipment with a cost of $15,000 was sold for $5,000 cash. 4. Equipment was acquired for common stock. The fair market value of the stock at the time of the exchange was $3,000. All other equipment was acquired with cash. 5. $8,000 of bonds were retired during the year. The bonds were issued at par

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

CISA Certified Information Systems Auditor Bundle

Authors: Peter H. Gregory

1st Edition

1260459861, 978-1260459869

More Books

Students also viewed these Accounting questions