Preparing a Cash Flow Worksheet Taser Corporation's recent comparative balance sheet and income statement follow. Balance Sheets, December 31 2019 2020 Assets Cash and cash equivalents $62,400 $102.000 Accounts receivable (net) 108,800 103,800 Merchandise inventory 249,600 272.000 Investments, long-term 32,000 Plant assets 539,200 577,600 Accumulated depreciation (140.800) (103 800) Talal assets SB19,200 $983,680 Liabilities and Stockholders' Equity Accounts payable $67,200 $60,800 Salaries payable 4,800 1,600 Income taxes payable 6,400 11,200 Bonds payable 320,000 320,000 Premium on bonds payable 12,800 11,840 Common stock, no par 384,000 497,600 Retained earnings 24,000 20,640 Total liabilities andstockholders' equity $819,200 $983,680 Income Statement, For Year Ended December 31 2020 Sales revenue $384,000 Cost of goods sold (153,600) Depreciation expense (19,200) Salaries expense (70.400) Income tax expense (32.000) Interest expense (22,400) Other expenses (7,360) Gain on sale of plant assets 9,600 Nel income $82,640 Additional information 1. Purchased a plant asset. $96,000; issued capital stock in full payment. 2. Purchased a long-term investment in equity securities accounted for cash, $32,000. 3. Declared and paid a cash dividend, $32,000. 4. Sold plant asset for $16,000 cash (cost, $57,600; accumulated depreciation, $51,200). $. 5. Sold capital stock, 1,600 shares at $11 per share cash. Required Cash Flow Worksheet Cash Flow Reconciliation Dr. Cr. 2020 U OS 0 0$ 0 0 0 0 0 0 0 0 0 0 0 0 . 0 0 0 0 $ 0 0 a. Prepare a cash flow worksheet. . a Comparative Balance Sheets 2019 Cash and cash equivalents $62,400 $ Accounts rece 108,800 Merchandise inventory 249,600 wy Investments, long-term 0 Plant assets 539 200 . Accumulated depreciation (140,000 Total assess 5819,200 Accounts payable $67,200 Salaries payable 4,800 Income taxes payable 6,400 Bonds payable 320,000 Premium on bonds payable 12,800 Common stock, no par 3B4,000 Retained earnings 24,000 Total liabilities and stockholders' equity $819,200 Cash Flows from Operating Activities Net income Depreciation expense 0 0 05 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 $ 0 0 0 0 0 0 0 0 a. Prepare a cash flow worksheet. Dr. Cr. 2020 0 0 0 0 0 0 0 0 0 0 0 0 0 0 . 0 0 0 0 0 0 $ 0 0 0$ 0 Comparative Balance Sheets 2019 Cash and cash equivalents $62,400 $ Accounts receivable 108,800 Merchandise inventory 249,600 Investments, long term 0 Plant assets 539,200 Accumulated depreciation (140,000) Total assets 5819,200 Accounts payable $67,200 Salaries payable 4,800 Income taxes payable 6,400 Bonds payable 320,000 Premium on bonds payable 12,800 Common stock, no par 3B4,000 Retained earnings 24,000 Total liabilities and stockholders' equity S819,200 Cash Flows from Operating Activities Nel income Depreciation expense 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 0 o 0 0 $ 0 0 0 0 0 0 0 0 0 0 0 0 0 0 Gain on sale of fixed assets Increase in inventory Decrease in accounts payable Decrease in salaries payable Increase in income taxes payable Cash Flows from Investing Activities Purchase of long-term investments 0 0 0 0 0 0 0 0 0 0. 0 0 Cash Flows from Financing Activities 0 0 0 0 Issuance of stock Nel cash and cash equivalents increase Total 0 0 0 OS 0 Salaries expense Income tax expense Interest expense Other expenses Gain on sale of plant assets (70.400) (32.000) (22.400) (7,360) 9,600 $88,640 Nel income Additional information 1. Purchased a plant asset, $96,000; issued capital stock in full payment. 2. Purchased a long-term investment in equity securities accounted for cash, $32,000. 3. Declared and paid a cash dividend, $32,000. 4. Sold plant asset for $16,000 cash (cost, $57,600; accumulated depreciation, $51,200). 5. Sold capital stock, 1,600 shares at $11 per share cash. Required Cash Flow Worksheet Cash Flow Reconciliation 0 b. Prepare a reconciliation of the total of the three sections of net cash flows from operating investing, and financing activities to the change in cash and prepare the noncash disclosure note. Cash Flow Reconciliation Amount Nel cash provided (used) by operating activities Net cash provided (used) by investing activities 0 Nel cash provided (used) by financing activities 0 Nel change in cash and cashe sh equivalents 0 Cash and cash equivalents, January 1, 2020 Cash and cash equivalents, December 31, 2020 Noncash Transaction Amount Check 2
