Question
The comparative balance sheet of Whitman Co. at December 31, 20Y2 and 20Y1, is as follows: 1 Dec. 31, 20Y2 Dec. 31, 20Y1 2 Assets
The comparative balance sheet of Whitman Co. at December 31, 20Y2 and 20Y1, is as follows: 1 Dec. 31, 20Y2 Dec. 31, 20Y1 2 Assets 3 Cash $918,330.00 $965,220.00 4 Accounts receivable (net) 828,620.00 761,010.00 5 Inventories 1,268,630.00 1,162,990.00 6 Prepaid expenses 30,290.00 35,390.00 7 Land 315,080.00 478,880.00 8 Buildings 1,462,320.00 899,910.00 9 Accumulated depreciation-buildings (408,210.00) (382,220.00) 10 Equipment 511,480.00 454,920.00 11 Accumulated depreciation-equipment (140,580.00) (159,440.00) 12 Total assets $4,785,960.00 $4,216,660.00 13 Liabilities and Stockholders Equity 14 Accounts payable (merchandise creditors) $923,090.00 $958,100.00 15 Bonds payable 269,000.00 0.00 16 Common stock, $25 par 325,500.00 118,000.00 17 Paid-in capital: Excess of issue price over parcommon stock 766,500.00 559,000.00 18 Retained earnings 2,501,870.00 2,581,560.00 19 Total liabilities and stockholders equity $4,785,960.00 $4,216,660.00 The noncurrent asset, noncurrent liability, and stockholders equity accounts for 20Y2 are as follows: ACCOUNT Land ACCOUNT NO. Balance Date Item Debit Credit Debit Credit 20Y2 Jan. 1 Balance 478,880 Apr. 20 Realized $150,210 cash from sale 163,800 315,080 ACCOUNT Buildings ACCOUNT NO. Balance Date Item Debit Credit Debit Credit 20Y2 Jan. 1 Balance 899,910 Apr. 20 Acquired for cash 562,410 1,462,320 ACCOUNT Accumulated DepreciationBuildings ACCOUNT NO. Balance Date Item Debit Credit Debit Credit 20Y2 Jan. 1 Balance 382,220 Dec. 31 Depreciation for year 25,990 408,210 ACCOUNT Equipment ACCOUNT NO. Balance Date Item Debit Credit Debit Credit 20Y2 Jan. 1 Balance 454,920 26 Discarded, no salvage 47,120 407,800 Aug. 11 Purchased for cash 103,680 511,480 ACCOUNT Accumulated Depreciation Equipment ACCOUNT NO. Balance Date Item Debit Credit Debit Credit 20Y2 Jan. 1 Balance 159,440 26 Equipment discarded 47,120 112,320 Dec. 31 Depreciation for year 28,260 140,580 ACCOUNT Bonds Payable ACCOUNT NO. Balance Date Item Debit Credit Debit Credit 20Y2 May 1 Issued 20-year bonds 269,000 269,000 ACCOUNT Common Stock $25 par ACCOUNT NO. Balance Date Item Debit Credit Debit Credit 20Y2 Jan. 1 Balance 118,000 Dec. 7 Issued 8,300 shares of common stock for $50 per share 207,500 325,500 ACCOUNT Paid-In Capital in Excess of ParCommon Stock ACCOUNT NO. Balance Date Item Debit Credit Debit Credit 20Y2 Jan. 1 Balance 559,000 Dec. 7 Issued 8,300 shares of common stock for $50 per share 207,500 766,500 ACCOUNT Retained Earnings ACCOUNT NO. Balance Date Item Debit Credit Debit Credit 20Y2 Jan. 1 Balance 2,581,560 Dec. 31 Net loss 47,830 2,533,730 31 Cash dividends 31,860 2,501,870 Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities. Refer to the Labels and Amount Descriptions list provided for the exact wording of the answer choices for text entries. Be sure to complete the heading of the statement. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments.
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