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Statement of Cash Flows-Indirect Method The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 2048 and 2077, is as follows: Dec. 31,
Statement of Cash Flows-Indirect Method The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 2048 and 2077, is as follows: Dec. 31, 2018 Dec. 31, 2017 Assets Cash $52,910 $64,910 Accounts receivable (net) 81,300 87,500 116,140 108,440 Merchandise inventory Prepaid expenses 4,730 3,290 Equipment 236,590 194,310 Accumulated depreciation equipment (61,510) (47,650) Total assets $430,160 $410,800 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) $90,330 $85,860 Mortgage note payable 0 123,240 Common stock, $1 par 14,000 9,000 Paid-in capital: Excess of issue price over par-common stock 201,000 116,000 Retained earnings 124,830 76,700 Total liabilities and stockholders' equity $430,160 $410,800 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, $123,210. b. Depreciation reported on the income statement, $29,990. C. Equipment was purchased at a cost of $58,410, and fully depreciated equipment costing $16,130 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, $75,080. Prepare a statement of cash flows, using the indirect method. 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: ID DDDDDD Net cash flow from operating activities Cash flows from (used for) investing activities: Net cash flow used for investing activities Cash flows from (used for) financing activities: Net cash flow used for financing activities Cash at the beginning of the year 64,910 Cash at the end of the year 52,910
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