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The net changes in the balance sheet accounts of FMD, Inc. for the year 2018 are shown below: Credit Debit $ 130,000 $ 14,000 4,000
The net changes in the balance sheet accounts of FMD, Inc. for the year 2018 are shown below: Credit Debit $ 130,000 $ 14,000 4,000 80,000 10,000 100.000 Account Cash Accounts receivable Allowance for doubtful accounts Inventory Prepaid expenses Held-to-Maturity Securities Available-for-Sale Securities Equipment Accumulated depreciation: Equipment Goodwill Accounts payable Notes payable Common stock Additional paid-in capitalcommon Retained earnings 300,000 700,000 10,000 105,000 325,000 100,000 120,000 450.000 $1.224.000 $1.224.000 Additional information: 1. Net income for 2018 was $690.000 2. cash dividends declared/paid $240,000 3. Equipment costing $400,000 with a book value of $150,000 was sold for $150,000 4. Held-to-Maturity (HTM) stock sold for $135,000. There were no other HTM transactions 5. 10,000 Shares of Common Stock were issued for $22/share. Instructions Prepare a statement of cash flows (indirect method). Ignore tax effects. Use the format provided on next page. Please attach your supporting calculations or spreadsheets. *Net out the changes in Accounts Receivable and the Allowance for Doubtful Accounts. Use that one Debit or Credit amount to make the adjustment. When listing the item on the statement, refer to it as increase or decrease in Accounts Receivables (net)
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