Question
The statements of financial position for Jood Company showed the following information. Additional information concerning transactions and events during 2020 are presented below. Jood Company
The statements of financial position for Jood Company showed the following information. Additional information concerning transactions and events during 2020 are presented below.
Jood Company
Statements of Financial Position December 31
2021 2020
Property, plant & equipment 236,500 150,000
Accumulated depreciation (37,700) (25,000)
Long-term investments 0 15,000
Inventory 35,000 42,000
Accounts receivable (net) 43,300 20,300
Cash 24,900 10,200
308,000 212,500
Share capital-ordinary 130,000 90,000
Retained earnings 70,000 29,000
Long-term notes payable 100,000 50,000
Accounts payable 21,000 17,000
Accrued liabilities 17,000 26,500
308,000 212,500
Additional data:
1. Net income for the year 2019, 82,000.
2. Depreciation on plant assets for the year, 12,700.
3. Sold the long-term investments for 28,000.
4. Paid dividends of 35,000.
5. Purchased machinery costing 26,500, paid cash.
6. Purchased machinery and gave a 60,000 long-term note payable.
7. Paid a 10,000 long-term note payable by issuing ordinary shares.
Instructions
Prepare a statement of cash flows (using the indirect method) for 2021 for Jood Company.
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