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Sage Company, a major retaller of bicyeles and accessories, operates several stores and is a publicly traded company. The comparative balance shect and income statement
Sage Company, a major retaller of bicyeles and accessories, operates several stores and is a publicly traded company. The comparative balance shect and income statement for Sage as of Mry 31, 2020 are as follows. The company is preparing its statement of cash fows. The fellowing is additional indermation concerning 5 age's transactions daring the year ended May 31,2020. 1. Als sales during the vear were made on account. 2. Ali merchandse was purchased on account, comprising the total accounts payable account. 3. Plant aisets costing $39,400 were purchased ty paying $20,400 in cash and issuing 6,900 shares of stock: 4. The "other expenses" are related to propald items: 5. Aa income tams incurred duint theyear were paid during the year: 6. In oraer to tuppicinent its canh, 5age wued 2,100 sharm of cominon stock at par value. 7. Cwheividents of $118.400 were dedared and pald at the end of the fiscal year. (b) Pruari. a itatenent of cash fows for Sace Company for the mar ended May 31. 2020, waing the direct me thad. (A reconciliation. Preaare a statement of cash Dows for Sage Cormpiny for the year ended May 31,2020, wing the direct method. (A reconcilation
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