Question
Presented here are the financial statements of Sunland Company. SUNLAND COMPANY Comparative Balance Sheets December 31 Assets 2022 2021 Cash $36,800 $21,000 Accounts receivable
Presented here are the financial statements of Sunland Company. SUNLAND COMPANY Comparative Balance Sheets December 31 Assets 2022 2021 Cash $36,800 $21,000 Accounts receivable 24,600 18,700 Inventory 29,500 21,500 Property, plant, and equipment 59,200 77,800 Accumulated depreciation (31,000) (23,800) Total $119,100 $115,200 Liabilities and Stockholders' Equity Accounts payable $19,100 $ 15,100 Income taxes payable 7,000 8,200 Bonds payable 26,900 42,200 Common stock 18,000 14,400 Retained earnings 48,100 35,300 Total $119,100 $115,200 SUNLAND COMPANY Income Statement For the Year Ended December 31, 2022 Sales revenue $241,400 Cost of goods sold 175,100 Gross profit 66,300 Selling expenses $18,400 Administrative expenses 6,000 Rectangular Snip Operating expenses 24,400 Income from operations 41,900 Interest expense 3,500 Income before income taxes 38,400 Income tax expense 7,680 Net income $30,720 Additional data: 1. Depreciation expense was $16,700. 2. Dividends declared and paid were $17,920. 3. During the year, equipment was sold for $9,100 cash. This equipment originally cost $18,600 and had accumulated depreciation of $9,500 at the time of sale. Bonds were redeemed at their carrying value. 4. 5. Common stock was issued at par for cash. Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) SUNLAND COMPANY Statement of Cash Flows Adjustments to reconcile net income to > > $ Rectangular Snip $ Rectangular Snip
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