Answered step by step
Verified Expert Solution
Question
1 Approved Answer
The income statement, balance sheets, and additional information for Track Inc. are provided. Track Inc Income Statement For the Year Ended December 31, 2019 Revenues
The income statement, balance sheets, and additional information for Track Inc. are provided. Track Inc Income Statement For the Year Ended December 31, 2019 Revenues $250.000 4000 Gain on sale of land Total revenues 254.000 Expenses: 127.000 25.000 Cost of goods sold Operating expenses Depreciation expense Interest expense 20.000 16.000 Income tax expense 12.000 Total expenses 200.000 $54.000 Net Income Track Inc Balance Sheets December 31 Assets 2019 2018 Current Assets: Cash $187,000 $330.000 83.000 Accounts receivable 95,000 Inventory 121,000 138,000 7.000 5,000 Prepaid rent Long-Term Assets: Investment in stock 186.000 100,000 Land 160.000 260.000 295,000 225.000 Equipment Accumulated depreciation - 100.000 - 120.000 $1,062.000 $910.000 $40.000 $58,000 2.000 Total Assets Liabilities and Stockholders' Equity Current Liabilities: Accounts payable Interest payable Income tax payable Long-Term Liabilities: Notes payable Stockholders Equity: Common stock 1.000 12.000 10.000 275.000 205,000 410,000 350,000 324.000 285.000 Retained earnings Total Liabilities and Equity $1,062,000 $910.000 Additional Information for 2019: 1. Purchase additional investment in stocks for $86,000. 2. Sell land costing $100,000 for 5104,000 resulting in a $4.000 gain on sale of land. 3. Issue common stock in exchange for cash 560,000. 4. Declared and paid a cash dividend of $15,000. 5. Purchase $70,000 in equipment by borrowing 570,000 with a note payable due in three years. No cash is exchanged in the transaction What is the cash flows from operating activities? What is the cash flows from investing activities? What is the cash flows from financing activities? What is the cash flows from non-cash activities
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started