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The Balance Sheets for Bad News show the following information. Additional information concerning transactions and events during 2019 are presented below. Dwyer Company Balance Sheet

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The Balance Sheets for Bad News show the following information. Additional information concerning transactions and events during 2019 are presented below. Dwyer Company Balance Sheet December 31 2019 2018 Difference $25,700 $35,900 48,300 $10,200 Cash 20,300 28,000 Accounts receivable (net) 42,000 35,000 Inventory Long-term investments Property, plant & equi Accumulated depreciation 15,000 0 150,000 86,500 236,500 (PP&E) 12,700 $318,000 2,000 Accounts payable Accrued liabilities (e.g. salaries payable) Long-term notes payable $26,500 17,000 50,000 90,000 s19,000 19,000 20,000 70,000 40,000 130,000 Common stock 51,000 Retained earnings 80,000 29,000 $212.500 $318,000 Additional data for 2019 (all of this data is properly reflected in the above balance sheet): 1. Sold the long-term investments fof $33,000. The original cost was $15,000. /2. Declared and immediately paid dividends of $39,000 in 2019 3. Purchased machinery (PP&E) and gave a $60,000 long-term note payable. Issued common stock for cash during the Paid a $40,000 long-term note payable. year Instructions: Using the template provided on page 3, prepare a Statement of Cash Flows (using the Indirect Method) for 2019 for Dwyer Company. Hints: You must compute net income and you must compute the additional property, plant and equipment purchased. (Use the "T" accounts on the next page). Doing a Statement of Retained Earnings for 2019 will also be helpful. Lt Note Payable Retained Earnings Prop. Plant & Equip. 50,000 29,000 150,000 80,000 70,000 236,500 Record the journal entries for additional data 1, 2, 3, 4 and 5. Post to "T" accounts as needed. 1. 2. 3. 4. 5. 8 ci Bey-RE :NI - :Dielend 32co 29,000 Dwyer Company Statement of Cash Flows For the Year Ended December 31, 2019 Erd RE Cash flows from operating activities Net Income s 90,000 Adjustments to reconcile net income to net cash provided by operating activities: Depreciolion expense Decscase in $1.2,t00 7.000 2.000 Tnveatory Increase in AR Tncrease in Accused liabilites (0) $ Net cash provided (used) by Operating Activities Cash flows from Investing Activities Long-term Investment 33,c80 (I) Net cash provided by Investing Activity Cash flows from Financing Activities icl alividesnd Common Gtock Issaad fr Cash

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