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Prepare the 2018 statement of cash flows for Smolira Golf Corp. (A negative answer should be indicated by a minus sign.) Answer should be in
Prepare the 2018 statement of cash flows for Smolira Golf Corp. (A negative answer should be indicated by a minus sign.)
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Some recent financial statements for Smolira Golf Corp. follow. Assets 2017 2018 SMOLIRA GOLF CORP. 2017 and 2018 Balance Sheets Liabilities and Owners' Equity 2018 2017 Current liabilities $ 37,837 Accounts payable $ 36,722 27,766 Notes payable 19,008 42,632 Other 19,864 Current assets Cash Accounts receivable Inventory $ 34,385 17,801 36,310 $ 42,582 16,200 24,634 Total $ 88,496 $108,235 Total $ 75,594 $ 83,416 Long-term debt $ 115,000 $ 145,000 Owners' equity Common stock and paid-in surplus Accumulated retained earnings $ 55,000 307,217 $ 55,000 344,452 Net plant and equipment $464,315 $519,633 Total $362,217 $399,452 Total assets $552,811 $627,868 Total liabilities and owners' equity $552,811 $627,868 SMOLIRA GOLF CORP. 2018 Income Statement Sales Cost of goods sold Depreciation $506,454 359,328 44,463 Earnings before interest and taxes Interest paid $102,663 19,683 Taxable income Taxes (25%) $ 82,980 20,745 Net income $ 62,235 Dividends Retained earnings $25,000 37,235 $ 34,385 SMOLIRA GOLF CORP. Statement of Cash Flows For 2018 Cash, beginning of the year Operating activities Net income Add: Depreciation Add: Increase in accounts payable Add: Increase in other current liabilities Add: Increase in accounts receivable Add: Increase in inventory $ 101,041 Net cash from operating activities Investment activities $ -99,781 Net cash from investment activities Financing activities Net cash from financing activities $ 2,192 Cash, end of yearStep by Step Solution
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