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Question 16 A comparative balance sheet for Rocker Company appears below: Dec. 31, 2019 ROCKER COMPANY Comparative Balance Sheet Dec. 31, 2020 Assets Cash $34,000

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Question 16 A comparative balance sheet for Rocker Company appears below: Dec. 31, 2019 ROCKER COMPANY Comparative Balance Sheet Dec. 31, 2020 Assets Cash $34,000 Accounts receivable 18,000 Inventory 25,000 Prepaid expenses 6,000 Long-term investments Equipment 60,000 Accumulated depreciation--equipment (20,000) Total assets $123,000 Liabilities and Stockholder's Equity Accounts payable $17,000 Bonds payable 36,000 Common stock 40,000 Retained earnings 30,000 Total liabilities and stockholders' equity $123,000 $11,000 13,000 17,000 9,000 17,000 33,000 (15,000) $85,000 $7,000 45,000 23,000 10,000 $85,000 Additional infor CALCULATOR FULL SCREEN PRINTER VERSION Additional Information: 1. Net income for the year ending December 31, 2020 was $35,000. 2. Cash dividends of $15,000 were declared and paid during the year. 3. Long-term investments that had a cost of $17,000 were sold for $14,000 4. Sales for 2020 were $120,000 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).) ROCKER COMPANY Statement of Cash Flows For the Year Ended December 31, 2020 Cash Flows from Operating Activities Net Income 35000 Adjustments to reconcile net income to Cash Flows from Operating Activities 1 Depreciation Expense 5000 Sale of long-term Investments 00 -5000 -8000 3000 i 1 10000 43000 -15000 -9000 Apr 17000 -7000 ment 14000 Sale of Long-term Investments -27000 Purchase of Equipment - 13000 Net Cash Used by Investing Activities 23000 11000 Cash at Beginning of Period Cash at End of Period Click if you would like to Show Work for this question: Open Show Work By accessing this Question Assistance, you will learn while you earn points based on the Point Pote

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