Question
Problem 12-10A Condensed financial data of Odgers Inc. follow. ODGERS INC. Comparative Balance Sheets December 31 Assets 2014 2013 Cash $ 137,360 $ 82,280 Accounts
Problem 12-10A Condensed financial data of Odgers Inc. follow. ODGERS INC. Comparative Balance Sheets December 31 Assets 2014 2013 Cash $ 137,360 $ 82,280 Accounts receivable 149,260 64,600 Inventory 191,250 174,845 Prepaid expenses 48,280 44,200 Long-term investments 234,600 185,300 Plant assets 484,500 412,250 Accumulated depreciation (85,000 ) (88,400 ) Total $1,160,250 $875,075 Liabilities and Stockholders Equity Accounts payable $ 173,400 $ 114,410 Accrued expenses payable 28,050 35,700 Bonds payable 187,000 248,200 Common stock 374,000 297,500 Retained earnings 397,800 179,265 Total $1,160,250 $875,075 ODGERS INC. Income Statement Data For the Year Ended December 31, 2014 Sales revenue $660,382 Less: Cost of goods sold $230,282 Operating expenses, excluding depreciation 21,097 Depreciation expense 79,050 Income taxes 46,376 Interest expense 8,041 Loss on disposal of plant assets 12,750 397,596 Net income $ 262,786 Additional information: 1. New plant assets costing $170,000 were purchased for cash during the year. 2. Old plant assets having an original cost of $97,750 and accumulated depreciation of $82,450 were sold for $2,550 cash. 3. Bonds payable matured and were paid off at face value for cash. 4. A cash dividend of $44,251 was declared and paid during the year. Further analysis reveals that accounts payable pertain to merchandise creditors. Prepare a statement of cash flows for Odgers Inc. using the direct method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).) ODGERS INC. Statement of Cash Flows For the Year Ended December 31, 2014 $ : $ $
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