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Required information Problem 14.7 Prepare a Statement of Cash Flows (LO14-1, LO14-2] [The following information applies to the questions displayed below.] Comparative financial statements for
Required information Problem 14.7 Prepare a Statement of Cash Flows (LO14-1, LO14-2] [The following information applies to the questions displayed below.] Comparative financial statements for Weaver Company follow: Weaver Company Comparative Balance Sheet at December 31 This Year Last Year Assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Long-term investments Total assets Liabilities and Stockholders' Equity Accounts payable Accrued liabilities $ 21 293 156 8 478 506 (81) 425 $ 12 231 195 6 444 427 (71) 356 25 31 $ 928 $831 $ 305 $224 78 72 478 506 (81) 425 25 444 427 (71) 356 31 $831 $ 928 Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Long-term investments Total assets Liabilities and stockholders' Equity Accounts payable Accrued liabilities Income taxes payable Total current liabilities Bonds payable Total liabilities Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity $ 305 72 74 451 199 650 161 117 278 $224 78 65 367 170 537 200 94 294 $ 928 $831 Weaver Company Income Statement For This Year Ended December 31 Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income Nonoperating items: Gain on sale of investments $ 751 448 303 221 82 $ 6 5 Weaver Company Income Statement For This Year Ended December 31 Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income Nonoperating items: Gain on sale of investments Loss on sale of equipment Income before taxes Income taxes $ 751 448 303 221 82 1 of 2 $ 6 (3) 3 85 23 Net income $ 62 During this year, Weaver sold some equipment for $18 that had cost $31 and on which there was accumulated depreciation of $10. In addition, the company sold long-term investments for $12 that had cost $6 when purchased several years ago. Weaver paid a cash dividend this year and the company repurchased $39 of its own stock. This year Weaver did not retire any bonds. Problem 14-7 Part 2 Problem 14-7 Part 2 2. Using the information from Part 1, along with an analysis of the rema cash flows for this year. (List any deduction in cash and cash outflows Weaver Company Statement of Cash Flows For This Year Ended December 31 Operating activities: Net cash provided by operating activities Investing activities: Additions to property, plant, and equipment Proceeds from sale of equipment Proceeds from sale of long-term investments 0 Financing activities: Cash dividends paid inninnnn afhenda maunla Prey id Required information mVesty ALL VILIES Additions to property, plant, and equipment Proceeds from sale of equipment Proceeds from sale of long-term investments, 0 Financing activities: Cash dividends paid Issuance of bonds payable Repurchase of common stock Net cash used in financing activities Net increase in cash 0 0 Beginning cash and cash equivalents Ending cash and cash equivalents $ 0
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