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This question is from chapter 14 of Managerial Accounting 16 th edition by Ray Garrison. Problem 14-7 Prepare a Statement of Cash Flows [L014-1, LO14-2]

This question is from chapter 14 of Managerial Accounting 16th edition by Ray Garrison.

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Problem 14-7 Prepare a Statement of Cash Flows [L014-1, LO14-2] [The following information applies to the questions displayed below.J Comparative financial statements for Weaver Company follow: Weaver Company Comparative Balance Sheet at December 31 This Last Year Assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment $ 12 228 195 309 158 9 481 513 86 427 26 $ 934 440 435 71 364 Less accumulated depreciation Net property, plant, and equipment Long-term investments Total assets $837 Liabilities and Stockholders' Equity Accounts payable Accrued liabilities Income taxes payable Total current liabilities Bonds payable Total liabilities Common stock Retained earnings Total stockholders' equity 304 72 74 450 197 647 164 123 287 $225 79 64 368 172 540 201 96 297 $837 Total liabilities and stockholders equity $ 934 Weaver Company Income Statement For This Year Ended December 31 Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income Nonoperating items: $ 750 448 302 219 83 Gain on sale of investments Loss on sale of equipment Income before taxes Income taxes 24 Net income $ 64 During this year, Weaver sold some equipment for $19 that had cost $30 and on which there was accumulated depreciation of $10. In addition, the company sold long-term investments for $13 that had cost $7 when purchased several years ago. Weaver paid a cash dividend this year and the company repurchased $37 of its own stock. This year Weaver did not retire any bonds

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