Question
Selected financial statement information and additional data for Jasmine Co. is presented below. Prepare a statement of cash flows for the year ending December 31,
Selected financial statement information and additional data for Jasmine Co. is presented below. Prepare a statement of cash flows for the year ending December 31, 2020
December 31
2020 2019
Cash $65,000 $42,000
Accounts receivable (net) 144,200 84,000
Inventory 206,600 168,000
Land 21,000 58,800
Equipment. 789,600 504,000
A/D- Eqp....................................... 115,600 84,000
Accounts payable 86,000 50,400
Notes payable - short-term 29,400 67,200
Notes payable - long-term 302,400 168,000
Common stock 487,200 420,000
Retained earnings 205,800 67,200
*change in inventory is an operating activity*
Additional data for 2020:
1. Net income was $220,200.
2. Depreciation was $?
3. Land was sold at its original cost.
4. Dividends of $81,600 were paid.
5. Equipment was purchased for $84,000 cash.
6. A long-term note for $134,400 issued for equipment purchase.
7. New owners invested in company by purchasing 100 shares of Common stock for cash.
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