Statement of Cash Flows-Indirect Method The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 2048 and 2017, is as follows: Dec. 31, Dec. 31, 20Y8 2017 Assets Cash $52,430 $64,460 80,570 115,100 4,690 Accounts receivable (net) Inventories Prepaid expenses Equipment Accumulated depreciation equipment Total assets 86,900 107,700 3,260 192,970 (47,320) $407,970 234,470 (60,960) $426,300 0 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) $89,520 $85,270 Mortgage note payable 122,390 Common stock, $1 par 14,000 9,000 Paid-in capital: Excess of issue price over par common stock 200,000 115,000 Retained earnings 122,780 76,310 Total Habilities and stockholders' equity $426,300 $407,970 Additional data obtained from the income statement and from an examination of the accounts in the ledger for 2018 are as follows: a. Net Income, $118,960 b. Depreciation reported on the income statement, $29,660 c Equipment was purchased at a cost of $57,520, and fully depreciated equipment costing $16,020 was discarded with no salvage realized, eBook 4 Show Me How TAN b. Depreciation reported on the income statement, $29,660 c Equipment was purchased at a cost of $57,520, and fully depreciated equipment costing $16,020 was discarded, with no salvage realized d. The mortgage note payable was not due for six years, but the terms permitted earlier payment without penalty e. 5,000 shares of common stock were issued at $18 for cash. f. Cash dividends declared and paid, 572,490 Required: Prepare a statement of cash flows, using the Indirect method of presenting cash flows from operating activities. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments Yellow Dog Enterprises Inc Statement of Cash Flows For the Year Ended December 31, 2018 Cash flows from operating activities Adjustments to reconcile net income to net cash flow from operating activities changes in current operating assets and liabilities DB 1111 Net cash flow from operating activities Cash Mows from investing activities: Net cash flow used for investing activities Cash Mows from financing activities Statement of Cash Flows For the Year Ended December 31, 2048 Cash flows from operating activities: Adjustments to reconcile net income to net cash flow from operating activities Changes in current operating assets and liabilities: Net cash now from operating activities Cash rows from investing activities ni W1 Net cash flow used for investing activities Cash flows from financing activities: Net cash flow used for financing activities Cash at the beginning of the year Cash at the end of the year Drevini
