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Question 14 View Policies Current Attempt in Progress Here are comparative balance sheets for Migitsu Company. Prepare a statement of cash flows-indirect method. MIGITSU COMPANY
Question 14 View Policies Current Attempt in Progress Here are comparative balance sheets for Migitsu Company. Prepare a statement of cash flows-indirect method. MIGITSU COMPANY Comparative Balance Sheets December 31 Assets 2020 Cash $72,000 Accounts receivable 86,000 Inventories 172,000 Land 71,000 Equipment 260,000 Accumulated depreciation (66,000) Total $595,000 Liabilities and Stockholders' Equity Accounts payable $34,000 Bonds payable 149,000 Common stock ($1 par) 218,000 Retained earnings 194,000 Total $595,000 2019 $22,000 78,000 190,000 99,000 200,000 (29,000) $560,000 $50,000 210,000 175,000 125,000 $560,000 Additional information: 1. Net income for 2020 was $105,000. 2. Cash dividends of $36,000 were declared and paid. 3. Bonds payable amounting to $61,000 were redeemed for cash $61,000. 4. Common stock was issued for $43,000 cash. 5. Equipment that cost $51,000 and had a book value of $30,600 was sold for $35,600 during 2020; land was sold at cost. Prepare a statement of cash flows for 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).) MIGITSU COMPANY Statement of Cash Flows Adjustments to reconcile net income to e Textbook and Media Compute free cash flow for 2020. Free cash flow $
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