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The comparative balance sheets for Hinckley Corporation show the following information: December 31 2012 2011 Cash $317,570 $297,120 Accounts receivable 115,040 106,710 Inventory 324,770 315,940
The comparative balance sheets for Hinckley Corporation show the following information: December 31 2012 2011 Cash $317,570 $297,120 Accounts receivable 115,040 106,710 Inventory 324,770 315,940 Investments 0 122,400 Land 166,570 0 Equipment 358,310 279,330 Accumulated Depreciation - Equip (83,890) (75,320) Totals $1,198,370 $1,046,180 Accounts payable $216,900 $206,100 Accrued expenses payable 21,570 27,200 Dividends payable 11,980 9,420 Common stock $1 par 64,710 51,260 Paid-in Capital in excess of par 243,270 142,280 Retained earnings 639,940 609,920 Totals $1,198,370 $1,046,180 Additional data related to 2012 are as follows: 1. Investments were sold for $143,210 in cash. 2. Equipment and land were acquired for cash. 3. There were no disposals of equipment during the year. 4. The common stock was issued for cash. 5. There was a $79,190 credit to Retained Earnings. 6. There was a $49,170 debit to Retained Earnings for cash dividends declared. Instructions: Prepare a statement of cash flows using the indirect method. Flood damage is unusual and infrequent in that part of the country
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