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The balance sheets for Plasma Screens Corporation, along with additional information, are provided below: PLASMA SCREENS CORPORATION Balance Sheets December 31, 2024 and 2023 2024
The balance sheets for Plasma Screens Corporation, along with additional information, are provided below:
PLASMA SCREENS CORPORATION | ||
Balance Sheets | ||
December 31, 2024 and 2023 | ||
2024 | 2023 | |
---|---|---|
Assets | ||
Current assets: | ||
Cash | $116,500 | $136,800 |
Accounts receivable | 80,400 | 95,000 |
Inventory | 101,000 | 85,400 |
Prepaid rent | 5,200 | 2,600 |
Long-term assets: | ||
Land | 510,000 | 510,000 |
Equipment | 814,000 | 700,000 |
Accumulated depreciation | (434,000) | (280,000) |
Total assets | $1,193,100 | $1,249,800 |
Liabilities and Stockholders' Equity | ||
Current liabilities: | ||
Accounts payable | $105,000 | $90,400 |
Interest payable | 6,900 | 13,800 |
Income tax payable | 9,200 | 5,600 |
Long-term liabilities: | ||
Notes payable | 115,000 | 230,000 |
Stockholders' equity: | ||
Common stock | 730,000 | 730,000 |
Retained earnings | 227,000 | 180,000 |
Total liabilities and stockholders' equity | $1,193,100 | $1,249,800 |
Additional Information for 2024:
- Net income is $75,000.
- The company purchases $114,000 in equipment. No equipment was sold.
- Depreciation expense is $154,000.
- The company repays $115,000 in notes payable.
- The company declares and pays a cash dividend of $28,000.
Required: Prepare the statement of cash flows using the indirect method. (Amounts to be deducted, cash outflows, and any decrease in cash should be indicated with a minus sign.)
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