Refer to the financial statements of Quasi Inc. at the end of this exam. Additional information for the year ended December 31, 2019: a. Quasi acquired manufacturing equipment of $37,000 during the year. No equipment was sold during the year. b. Quasi received cash of $30,000 from the sale of land. Land is included in Property, plant and equipment. c. Quasi declared and completed a stock dividend and declared and paid a cash dividend during 2019. d. Quasi redeemed $45,000 of bonds during 2019. The bonds were originally issued at par. e. During 2019, Quasi renewed the short-term note payable for another year at the same amount. f. No common shares were issued or redeemed during the year. REQUIRED: Prepare a Statement of Cash Flows for the year ended December 31, 2019 in good form using the indirect method.

ALSO NEED CALCULATIONS

QUASI INC. Comparative Balance Sheet December 31 2019 2018 2017 Assets Cash Prepaid Expenses Accounts receivable Inventory Long-term investment Property, plant and equipment (net) Total Assets $ 55,000 71,000 20,000 100,000 135,000 159,000 $ 540,000 $ 15,000 50,000 40,000 130,000 135,000 180,000 $ 550,000 75,000 35,000 25,000 110,000 210,000 $ 455,000 62,000 Liabilities and shareholders' equity Accounts payable Short-term notes payable Bonds payable Common shares (400,000 shares outstanding) Retained earnings Total liabilities and shareholders' equity $ 110,000 40,000 115,000 155,000 120,000 $ 540,000 $ 60,000 40,000 160,000 140,000 150,000 $ 550,000 160,000 145,000 88,000 $ 455,000 Note: 2017 is provided for Question 5 only (not needed for Question 6) QUASI INC. Income Statement Years Ended December 31 2019 $ 375,000 2018 $ 335,000 Net sales Expenses Cost of goods sold Depreciation expense Operating expenses Total expenses Income from operations 205,000 40,000 78,000 323,000 52,000 175,000 40,000 45,000 260,000 75,000 32,000 Other items Interest expense Gain from sale of land Total Income before income taxes 24,000 12,000 12,000 40,000 32,000 43,000 Income tax expense Net income 30,000 10,000 20,000 23,000 $ $