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Sunny Technologies Inc. began operations on January 1, 2019. Its post-closing trial balance at December 31, 2019 and 2020 is shown below along with some

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Sunny Technologies Inc. began operations on January 1, 2019. Its post-closing trial balance at December 31, 2019 and 2020 is shown below along with some other information Sunny Technologies Inc Income Statement For Year Ended December 31, 2020 Revenues Sales $ 627,500 Cost of goods sold 483.500 Gross Profit 144.000 Expenses and other Other expenses $ 155,500 Depreciation expense 25.900 Total operating expenses 181.400 Operating Profit (Loss) (37.400) Loss on sales of plant assets 21.100 Proft (Loss) $ (58,500) Sunny Technologies Inc Post-Closing Trial Balance December 31 Account 2020 2019 Cash $ 63,000 $76,830 Receivables 42.200 30,700 Merchandise inventory 27.500 35.500 Property, plant and equipment 230,700 190430 Accumulated depreciation 64 300 53.100 Accounts payable 50,440 62.400 Accrued liabilities 11.500 6,700 Notes payable 97,630 40,030 Common shares 49,630 8,000 Retained earnings 89.900 163.230 Other information regarding Sunny and its activities during 2020 1. Assume all accounts have normal balances. 2. Cash dividends were declared and paid during the year, 3. Plant assets were sold during the year. 4. Plant assets worth $99,500 were purchased during the year by paying cash of $32,300 and issuing a long-term note payable for the balance Required: Using the information provided, prepare a statement of cash flows (applying the indirect method) for the year ended December 31, 2020. (List any deduction in cash and cash outflows and less as negative amounts.) SUNNY TECHNOLOGIES INC Statement of Cash Flows For Year Ended December 31, 2020 Cash flows from operating activities Loss Adjustments to reconcile profitto e cash inflows from Operating activities Decrease in merchandise Inventory Increase in accounts receivable Depreciation expense $ 0 Cash flows from investing activities Receipt from sale of plant assets

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