Statement of Cash Flows The comparative balance sheet of Whitman Co. at December 31, 20Y2 and 20Y1, is as follows: Dec. 31, 20Y2 Dec. 31, 20Y1 Assets Cash $699,640 $ 752,030 Accounts receivable (net) 636,670 580,700 Inventories Prepaid expenses 965,500 888,540 22,390. 26,590 Land 240,680 363,810 Buildings 1,112,430 685,650 < Accumulated depreciation-buildings (314,840) (293,850) Equipment 391,800 346,320 Accumulated depreciation-equipment (107,740) (121,040) Total assets $3,646,530 $3,228,750 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) $ 692,840 $ 731,120 Bonds payable 204,210 0 Common stock, $20 par 241,000 89,000 Excess of paid-in capital over par 577,000 425,000 Retained earnings 1,931,480 1,983,630 Total liabilities and stockholders' equity $3,646,530 $3,228,750 Printem The noncurrent asset, noncurrent liability, and stockholders' equity accounts for 20Y2 are as follows: ACCOUNT Land Date 2012 ACCOUNT NO. Balance Item Debit Credit Debit Credit Jan. 1 Balance 363,810 Apr. 20 Realized $114,500 cash from sale 123,130 240,680 ACCOUNT Buildings Date 2012 ACCOUNT NO. Balance Item Debit Credit Debit Credit Jan. 1 Balance Apr. 20 Acquired for cash ACCOUNT Accumulated Depreciation-Buildings Date 2012 Item Jan. 1 Balance Dec. 31 Depreciation for year ACCOUNT Equipment 426,780 685,650 1,112,430 ACCOUNT NO. Balance Debit Credit Debit Credit 20,990 293,850 314,840 ACCOUNT NO. Date 2012 Balance Item Debit Credit Debit Credit Jan. 1 Balance Jan. 26 Discarded, no salvage Aug. 11 Purchased for cash ACCOUNT Accumulated Depreciation-Equipment Date 2012 Item Jan. 1 Balance Jan. 26 Equipment discarded Dec. 31 Depreciation for year ACCOUNT Bonds Payable Date 2012 346,320 38,100 308,220 83,580 391,800 ACCOUNT NO. Balance Debit Credit Debit Credit 38,100 24,800 121,040 82,940 107,740 ACCOUNT NO. Balance Item Debit Credit Debit Credit May 1 Issued 20-year bonds ACCOUNT Common Stock, $20 par 204,210 204,210 ACCOUNT NO. Ralance Date 20Y2 Balance Item Debit Credit Debit Credit Jan. 1 Balance Dec. 7 Issued 7,600 shares of common stock for $40 per share ACCOUNT Paid-in Capital in Excess of Par-Common Stock Date Item 20Y2 Jan. 1 Balance Dec. 7 Issued 7,600 shares of common stock for $40 per share ACCOUNT Retained Earnings Date 89,000 152,000 241,000 ACCOUNT NO. Balance Debit Credit Debit Credit 425,000 152,000 577,000 Item Debit Credit Debit 2012 Jan. 1 Balance Dec. 31 Net loss 25,110 Dec. 31 Cash dividends 27,040 Required: ACCOUNT NO. Balance Credit 1,983,630 1,958,520 1,931,480 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. Whitman Co. Statement of Cash Flows For the Year Ended December 31, 2012 Cash flows from (used for) operating activities: Net loss Adjustments to reconcile net loss to net cash flows from (used for) operating activities: Depreciation Loss on sale of land Changes in current operating assets and liabilities: Increase in accounts receivable Increase in inventories Decrease in prepaid expenses Decrease in accounts payable Net cash flows used for operating activities Cash flows from (used for) investing activities: Cash received from sale of land Cash paid for acquisition of building Cash paid for purchase of equipment Net cash flows used for investing activities Cash flows from (used for) financing activities: Cash received from issuing bonds payable Cash received from issuing common stock Q00 0000 000 QO 0 0 Cash received from issuing common stock Cash dividends. Net cash flows from financing activities Net decrease in cash Cash balance, January 1, 20Y2 Cash balance, December 31, 20Y2 10000 000