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The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 2048 and 2017, is as follows: Dec. 31, 2018 Dec. 31, 2017 Assets
The comparative balance sheet of Yellow Dog Enterprises Inc. at December 31, 2048 and 2017, is as follows: Dec. 31, 2018 Dec. 31, 2017 Assets Cash $95,960 $78,390 120,450 Accounts receivable (net) 129,360 Merchandise inventory 172,060 160,340 Prepaid expenses 7,010 4,860 Equipment 350,510 287,270 Accumulated depreciation equipment (91,130) (70,450) $607,340 Total assets $637,290 Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) $ 133,830 $126,930 Mortgage note payable 0 182,200 Common stock, $1 par 21,000 13,000 Paid-in capital: Excess of issue price over par-common stock 291,000 171,000 Retained earnings 191,460 114,210 Total liabilities and stockholders' equity $637,290 $607,340 Additional data obtained from the income statement and from an examination of the accounts in the ledger for 20Y8 are as follows: a. Net income, $ 197,760. b. Depreciation reported on the income statement, $44,520. c. Equipment was purchased at a cost of $87,080, and fully depreciated equipment costing $23,840 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. 8,000 shares of common stock were issued at $16 for cash. f. Cash dividends declared and paid, $120,510. Required: Prepare a statement of cash flows, using the indirect method. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments. Yellow Dog Enterprises Inc. Statement of Cash Flows For the Year Ended December 31, 2048 Cash flows from operating activities: Adjustments to reconcile net income to net cash flow from operating activities: Changes in current operating assets and liabilities: $ 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 Cash at the end of the year
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