Required: Prepare a complete statement of cash flows using the direct method for the current year. (Amounts to be deducted should be Indicated with a minus sign.) GOLDEN CORPORATION Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Cash received from customers $ Cash paid for inventory Cash paid for equipment Cash paid for income taxes 1,780,000 (12,000) (75,000) 16.000 $ 1.700.000 Net cash used in operating activities Cash flows from investing activities 0 Cash flows from financing activities $ 1.700.000 Net increase (decrease) in cash Cash balance at December 31, prior year Cash balance at December 31, current year $ 1.700.000 Golden Corp's current year income statement, comparative balance sheets, and additional information follow. For the year, all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of Inventory are on credit. (4) all debits to Accounts Payable reflect cash payments for inventory. (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes GOLDEN CORPORATION Comparative Balance Sheets Decenter 11 current Year Prior Year Assets $164,000 B3,000 601,000 848,000 335.000 (158,000) $1,025,000 $107.000 71.ee 526,00 784,80 299,000 (124.ee 5.899,000 Accounts receivable Inventory Total current assets Equipient Accum. depreciation Equipment Total assets Liabilities and Equity Accounts payable Income taxes payable Total current abilities Equity Como stock, 52 par value Pale in capital in excess ut par value, common stock Retthedanings Total Babalties and equity 87,600 28.000 115,00 $71.000 25.ee 90,000 568, 160,000 592,000 190.000 132,000 31.025,000 GOLDEN CORPORATION 31,297,200 16, for current Year Ended Deceber 31 Sales Cucto od puole Operating pa Other Ticone before tres I come to 15:00 22.000 Additional Information on Current Year Tiansactions a. Purchased equipment for $36.000 cash. b. Issued 12,000 shares of common stock for $5 cash per share Declared and paid $89,000 in cash dividends. Required: Prepare a complete statement of cash flows using the direct method for the current year (Amounts to be deducted should be Indicated with a minus sign) GOLDEN CORPORATION Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Cash received from customers 1.780,000 Cash paid for inventory (12.000) Cash paid for equipment (75,000) Cash paid for income totes 10,000 $1.709,000 Net cash used in operating activities Cash Bows from investing activities Cash flows from financing activities Not increase decrease in con Cash balance at December 31. noyat December current year Golden Corp's current year Income statement, comparative balance sheets, and additonal Information follow. For the year. (y all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory. (5) Other Expenses are all cash expenses, and (6) any change in Income Taxes Payable reflects the accrual and cash payment of taxes. GOLDEN COPORATION Comparative Balance Sheet December 11 Current Year $ 154,00 83,000 601,00 48,000 335.000 (158,000) $1,025,000 Prior Year $107.000 71, 526,00 704,000 299,00 (184,00) $ 899,680 Assets Cash Accounts receivable Inventory Total current assets Equipment Accun. depreciation Equipment Total assets Liabilities and Equity Accounts payable Income taxes payable Total current liabilities Equity Comon stock, $2 par value Paid-in capital in excess of par value, common stock Retained earnings Total liabilities and equity 3 87,000 28,000 115,000 $71.000 25,000 96,080 592,000 196,000 122.000 $1,025,000 568,000 16e, eee 75,660 $ 899, eee $1,792,000 1,686,000 700,000 GOLDEN CORPORATION Income Statement For Current Year Ended December 31 Sales Cost of goods sold Gross profit Operating expenses Depreciation expense $ 54,000 Other expenses 494,000 Income before taxes Income taxes expense Net Income 543,00 158,000 22.000 136,000 Additional Information on Current Year Transactions a. Purchased equipment for $36.000 cash. b. Issued 12,000 shares of common stock for $5 cash per share. c Declared and paid $89.000 in cash didends. Required: Prepare a complete statement of cash flows using the Indirect method for the current year. (Amounts to be deducted should be Indicated with a minus sign.) GOLDEN CORPORATION Statement of Cash Flows For Current Year Ended December 31 Cash flows from operating activities Net income 138,000 Adjustments to reconcile net income to net cash provided by operations: Accounts receivable increase (12,000) Inventory increase (75,000) Accounts payable increase 10,000 Income taxes payable increase 3,000 Depreciation expense 54,000 122,000 Net cash provided by operating activities Cash flows from investing activities Cash paid for equipment (30,000 (38000) Net cash used in investing activites Cash flows from financing activities Cash received from stock issuance Cash paid for cash dividende 80.000 (80.000) taxes. GOLDEN CORPORATION Comparative Balance Sheets December 31 Current Year Prior Year $164, eee 83,080 601,600 848,00 335,888 (158,888) $1,025,888 $ 187,eee 71,080 526,690 784,880 299,888 (184,888) $ 899,800 Assets Cash Accounts receivable Inventory Total current assets Equipment Accum. depreciation Equipment Total assets Liabilities and Equity Accounts payable Income taxes payable Total current liabilities Equity Corvin stock $2 par value Paid-din capital in excess of par value, common stock Retained earnings Total Habilities and equity $ 87,800 28,eee 115,888 $ 71,690 25,888 96,080 592, eee 196,690 122,880 $1,625,000 568,888 160,800 75,eee $ 899,888 $1,792,000 1.86,00 706,00 GOLDEN CORPORATION Income Statement Fon Current Year Ended December 31 Sates Cost of goods sold Gross DEL Operating expenses Depreciation expense other expenses 494,00 Tacone before axes In Exxen 548, eee 13,00 Additional Information on Current Year Transactions a. Purchaseo equipment for $36.000 cash b. Issued 12.000 shares of common stock for $5 cash per share c. Declared and paid $89.000 in cash dividends