Question 25

Selected financial information for the Adelphi Company for the fiscal years ended December 31, 2018 and 2017 follows.Prep a cash flow statement using the indirect method.Properly title the statement.

2018 2017

Cash balance $113,500 $37,500

Net income 142,500 162,000

Depreciation Expense 42,000 35,000

Purchase of Plant Assets 135,000 125,000

Disposal of Plant Assets 40,000 50,000

Gain (Loss) on Disposal of Plant Assets (10,000) 5,000

Accounts Receivable Balance 64,500 58,000

Accounts Payable Balance 42,000 39,000

Interest Expense 8,000 6,000

Income Taxes Paid 35,000 28,000

Dividends Paid 30,000 25,000

Common Stock Issued for Cash 20,000 0

Question 25 answer: