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Statement of Cash Flows The comparative balance sheet of Merrick Equipment Co. for December 31, 2019 and 20Y8, is as follows: Dec. 31, Dec. 31,

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Statement of Cash Flows The comparative balance sheet of Merrick Equipment Co. for December 31, 2019 and 20Y8, is as follows: Dec. 31, Dec. 31, 2049 2018 Assets Cash $317,810 $292,910 Accounts receivable (net) 115,130 105,200 Inventories 325,010 311,490 Investments 0 120,670 Land 166,700 0 Equipment 358,590 275,380 Accumulated depreciation-equipment (83,950) (74,260) $1,199,290 $1,031,390 Total assets Liabilities and Stockholders' Equity $217,070 $203,180 Accounts payable Accrued expenses payable 21,590 26,820 11,990 9,280 Dividends payable 64,760 50,540 Common stock, $10 par 243,460 140,270 Excess of paid-in capital over par 640,420 601,300 Retained earnings $1,199,290 $1,031,390 Total liabilities and stockholders' equity Additional data obtained from an examination of the accounts in the ledger for 2019 are as follows: a. Equipment and land were acquired for cash. b. There were no disposals of equipment during the year c. The investments were sold for $108,600 cash. d. The common stock was issued for cash. e. There was a $87,600 credit to Retained Earnings for net income. t. There was a $48,480 debit to Retained Earnings for cash dividends declared. Required: Prepare a statement of cash flows, using the Indirect method of presenting cash flows from (used for) operating activities. Use the minus sign to indicate cash outflows cash payments, decreases in cash, or any negative adjustments. Merrick Equipment Co. Statement of Cash Flows For the Year Ended December 31, 2049 Cash flows from (used for) operating activities: Net Income Adjustments to reconcile net income to net cash flows from (used for) operating activities Depreciation Loss on sale of investments Changes in current operating assets and abilities: 0.01 100 Increase in accounts receivable Increase in inventories Increase in accounts payable Decrease in accrued expenses payable Net cash nows from operating activities Net income Adjustments to reconcile net income to net cash flows from (used for) operating activities: Depreciation Loss on sale of investments Changes in current operating assets and liabilities: Increase in accounts receivable Increase in inventories Increase in accounts payable Decrease in accrued expenses payable Net cash flows from operating activities II IIIO DIO DO Cash flows from (used for) investing activities: Cash received from sale of investments Cash paid for purchase of land Cash paid for purchase of equipment Net cash flows used for investing activities Cash flows from (used for) financing activities: Cash received from issuing common stock Cash dividends Net cash flows from financing activities Net increase in cash Cash balance, January 1, 2019 Cash balance, December 31, 2049

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