STATEMENT OF CASH FLOWS

Lingies Lights & Bulbs 2019 and 2018 Balance Sheets included the following items:

Required:

Prepare the STATEMENT OF CASH FLOWS using the indirect method for the year ended December 31, 2019. Additional information includes the following:

a. Equipment costing $21,375 with accumulated depreciation of $11,100 was sold for $6,975.

b. Equipment was purchased for cash in the amount of $10,500

c. Paid $38,325 to retire and cancel bonds payable

d. Dividends were paid

e. Issued 1,000 common shares for $10 per share

STATEMENT OF CASH FLOWS Lingies Lights & Bulbs 2019 and 2018 Balance Sheets included the following items: Lingies Lights & Bulbs Comparative Balance Shots As of December 31, 2019 and 2018 2019 Cash $53.050 Accounts Receivable 34,125 Merchandise Inventory 156,000 Prepaid Expenses 3.600 Equipment 135,825 Accumulated Depreciation Equipment (61,950) TOTAL ASSETS $320,650 Accounts Payable 28,800 Taxes Payable 5,100 Bonds Payable 0 Common Shares, no par value 178.750 Retained Earnings 108.0001 TOTAL LIABILITIES & EQUITY S320,650 2018 $23.925 39,825 146,475 1.650 146,700 (47,550) S311,025 33,750 4,425 37.500 168,750 66,600 S311,025 Lingies Lights & Bulbs Income Statement are as follows: Lingies Lights & Bulbs Income Statement For The Year Ended December 31, 2019 Revenue: Sales 446,100 Cost Of Goods Sold 222,300 Other Operating Expenses 120,300 Income Taxes Expense 13,725 Depreciation Expense 25.500 Total Expenses 1381.825 Loss on Retirement of Bonds (825) Loss on Sale of Equipment 1.300 NET INCOME S60,150 Required: Prepare the STATEMENT OF CASH FLOWS using the indirect method for the year ended December 31, 2019. Additional information includes the following: a. Equipment costing $21,375 with accumulated depreciation of $11,100 was sold for $6,975. b. Equipment was purchased for cash in the amount of $10,500 c. Paid $38,325 to retire and cancel bonds payable d. Dividends were paid c. Issued 1,000 common shares for $10 per share