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The following are comparative balance sheets for Mitch Company. MITCH Company Comparative Balance Sheets December 31 Assets 2022 2021 Cash $68,000 $22,000 Accounts receivable 88,000
The following are comparative balance sheets for Mitch Company. MITCH Company Comparative Balance Sheets December 31 Assets 2022 2021 Cash $68,000 $22,000 Accounts receivable 88,000 76,000 Inventory 167,000 189,000 Land 80,000 100,000 Equipment 260,000 200,000 Accumulated depreciation-equipment (66,000) (32,000) Total $597,000 $555,000 Liabilities and Stockholders' Equity Accounts payable $39,000 $43,000 Bonds payable 150,000 200,000 Common stock ($1 par) 216,000 174,000 Retained earnings 192,000 138,000 Total $597,000 $555,000 Additional information: 1. Net income for 2022 was $93,000. 2. Depreciation expense was $34,000. 3. Cash dividends of $39,000 were declared and paid. 4. Bonds payable with a carrying value of $50,000 were redeemed for $50,000 cash. 5. Common stock was issued at par for $42,000 cash. 6. No equipment was sold during 2022. 7. Land was sold for its book value. Prepare a statement of cash flows for 2022 using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000, or in parenthesis e.g. (15,000).) MITCH Company Statement of Cash Flows Adjustments to reconcile net income to $ $ $
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