Question 13 View Policies Current Attempt in Progress Below is the comparative balance sheet for Metlock Corporation. Dec. 31, 2017 Dec. 31, 2016 Cash $16,600 $20,800 Short-term investments 25,200 18,800 Accounts receivable 42,700 45,200 Allowance for doubtful accounts (1,800) (2,000) Prepaid expenses 4,200 2,500 Inventory 80,800 65,500 Land 49,800 49,800 Buildings 125,500 73,900 Accumulated depreciation-buildings (29,900) (23,000) Equipment 53,100 45.600 Accumulated depreciation equipment (19,000) (15,600) Delivery equipment 38,900 38,900 Accumulated depreciation-delivery equipment (21,800) (20,300) Patents 14,900 -0- $379,200 $300,100 Accounts payable $26,300 $16,000 Short-term notes payable (trade) 4,100 6.000 Accrued payables 3,000 4,700 Mortgage payable 72,400 53,200 $379,200 $300,100 Accounts payable $26,300 $16,000 Short-term notes payable (trade) 4,100 6,000 Accrued payables 3.000 4,700 Mortgage payable 72,400 53,200 Bonds payable 49,500 62,300 Common stock 138.900 101,600 Paid-in capital in excess of par 10,000 4.000 Retained earnings 52,300 75,000 $379,200 $300,100 Dividends in the amount of $15,000 were declared and paid in 2017. From this information, prepare a worksheet for a statement of cash flows. Make reasonable assumptions as appropriate. The short-term investments are considered available-for-sale and no unrealized gains or losses have occurred on these securities. (Enter amounts either in debit or in credit column in Statement of Cash Flows Effects except for totals.) METLOCK CORPORATION WORKSHEET FOR PREPARATION OF STATEMENT OF CASH FLOWS For the Year Ended December 31, 2017 2017 Reconciling Items Balance at 12/31/16 Balance at 12/31/17 Debits Debit Credit Cash $20,800 $ $16,600 Short-term investments 18.800 25,200 Accounts receivable 45,200 42.700 Prepaid expenses 2.500 4,200 Inventory 65,500 80.800 Land 49,800 49,800 Buildings 73,900 125,500 Equipment 45,600 53,100 Delivery equipment 38,900 38,900 Patents 14.900 Total debits $361,000 $451.700 Credits Accounts payable $16,000 $ $26,300 Notes payable 6,000 4,100 Accrued liabilities 4,700 3,000 Allowance for doubtful accounts 2,000 1.800 Accumulated Depreciation-Building 23,000 29,900 Accumulated Depreciation-Equipment 15,600 19,000 Accumulated Depreciation-Delivery Equipment 20,300 21.800 Mortgage payable 53,200 72,400 Bonds payable 62,300 49,500 Common stock 101,600 138.900 Paid-in capital in excess 4,000 10,000 Retained earnings 52,300 75,000 Retained earnings 52,300 75,000 Total credits $361,000 $451,700 Metlock Corporation Statement of Cash Flows Effects Totals Totals