Question
Problem 17-11A The comparative balance sheets for Rothlisberger Company as of December 31 are presented below. ROTHLISBERGER COMPANY Comparative Balance Sheets December 31 Assets 2020
Problem 17-11A The comparative balance sheets for Rothlisberger Company as of December 31 are presented below. ROTHLISBERGER COMPANY Comparative Balance Sheets December 31 Assets 2020 2019 Cash $58,300 $46,300 Accounts receivable 41,400 65,300 Inventory 149,800 146,600 Prepaid expenses 14,600 25,500 Land 97,600 130,500 Buildings 196,100 196,100 Accumulated depreciationbuildings (59,000 ) (32,100 ) Equipment 231,400 157,000 Accumulated depreciationequipment (43,200 ) (36,700 ) Total $687,000 $698,500 Liabilities and Stockholders Equity Accounts payable $46,200 $39,500 Bonds payable 260,000 292,100 Common stock, $1 par 189,300 157,200 Retained earnings 191,500 209,700 Total $687,000 $698,500 Additional information: 1. Operating expenses include depreciation expense of $42,000 and charges from prepaid expenses of $10,900. 2. Land was sold for cash at book value. 3. Cash dividends of $63,200 were paid. 4. Net income for 2020 was $45,000. 5. Equipment was purchased for $95,600 cash. In addition, equipment costing $21,200 with a book value of $12,600 was sold for $6,400 cash. 6. Bonds were converted at face value by issuing 32,100 shares of $1 par value common stock. Prepare a statement of cash flows for the year ended December 31, 2020, 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).)
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