Required information. Use the following information for the Quick Study below. [The following information applies to the questions displayed below] The plant assets section of the comparative balance sheets of Anders Company is reported below. Plant assets Equipment ANDERS COMPANY Comparative Balance Sheets Accumulated depreciation-Equipment Equipment, net Buildings Accumulated depreciation-Buildings Buildings, net 2018 2019 $ 295,000 (146,000) $ 385,000 (256,000) $ 149,000 $ 129,000 $ 495,000 $ 515,000 (169,000) $ 326,000 (354,000) $ 161,000 QS 16-11 Computing investing cash flows LO P3 During 2019, a building with a book value of $93,000 and an original cost of $415,000 was sold at a gain of $83,000. 1. How much cash did Anders receive from the sale of the building? 2. How much depreciation expense was recorded on buildings during 2019? 3. What was the cost of buildings purchased by Anders during 2019? 1. Cash received from the sale of building 2 3. Depreciation expense Purchase of building QS 16-13 Computing cash from asset sales LO P3 CRUZ, INC. Comparative Balance Sheets December 31, 2019) 2019 2018 Assets Cash $ 99,000 $ 25,000 Accounts receivable, net 42,800 53,100 Inventory Prepaid expenses Total current assets Furniture Accum. depreciation-Furniture. Total assets Liabilities and Equity Accounts payable Wages payable 89,600 99,700 5,600 4,400 237,000 182,200 113,000. 124,700 (17,600) (9,400) $332,400 $297,500 $ 15,600 $ 21,900 9,400. 5,200 Income taxes payable 1,500 2,700 Total current liabilities Notes payable (long-term) Total liabilities Equity Common stock, $5 par value Retained earnings 26,500 29,800 31,100 65,700 57,600 95,500 238,600 190,000 36,200 12,000 Total liabilities and equity $332,400 $297,500 CRUZ, INC. Income Statement For Year Ended December 31, 2019 Sales Cost of goods sold Gross profit Operating expenses Depreciation expense Other expenses Income before taxes: Income taxea expense Net income $509,400 327,800 181,600 $39,200 92,900 132,100 49,500 18,100 $ 31,400 Furniture costing $56,100 is sold at its book value in 2019. Acquisitions of furniture total $44,400 cash, on which no depreciation is necessary because it is acquired at year-end. Complete the general ledger accounts to calculate cash received from the sale of furniture. Complete the general ledger accounts to calculate cash received from the sale of furniture. Beg. bal. Furniture End, bal. Beg. bal End. bal. Accumulated Depreciation Cost Accumulated depreciation Book value (Cash received) $ 0 QS 16-15 Computing financing cash flows LO P3 The following information is from Princeton Company's comparative balance sheets. At December 31 Common stock, $10 par value Paid-in capital in excess of par Retained earnings Current Year Prior Year $117,000 $108,000 575,000 346,000 321,500 295,500 The company's net income for the current year ended December 31 was $52,000. 1. Complete the T-accounts to calculate the cash received from the sale of its common stock during the current year. Beg. bal. Common Stock, $10 Par End. bal. 0 Beg. bal. Paid-in Capital in Excess of Par End. bal. Cash received 0 2. Complete the T-account to calculate the cash paid for dividends during the current year.. Retained Earnings Beg. bal. End. bal. Exercise 16-4 Indirect: Cash flows from operating activities LO P2 The following income statement and additional year-end information is provided. SONAD COMPANY Income Statement For Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses Salaries expense Depreciation expense $2,091,000 1,024,590 1,066,410 $286,467 50,184 Rent expense Amortization expenses-Patents 56,457 Utilities expense 6,273 23,001 422,382 644,028 Gain on sale of equipment 8,364 $ 652,392 Net income Accounts receivable $23,050 increase Inventory 18,125 increase Accounts payable Salaries payable $13,175 decrease 2,350 decrease Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Utilities expense Gain on sale of equipment Net income 23,001 422,382 644,028 8,364 $ 652,392 Accounts receivable Inventory $23,050 increase 18.125 increase Accounts payable Salaries payable $13,175 decrease 2,350 decrease Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities: Income statement items not affecting cash Changes in current operating assets and liabilities $ 0