Answered step by step
Verified Expert Solution
Question
1 Approved Answer
two parts, pleaae help Problem 12-3A: Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, all sales or
two parts, pleaae help
Problem 12-3A: Forten Company's current year income statement, comparative balance sheets, and additional information follow. For the year, all sales or credit sales, all credits to Accounts Receivable reflect cash receipts from customers, All purchases of inventory are on credit, all debits to Accounts Payable reflect cash payments For inventory, and Other Expenses are paid in advance and are initially debited to prepaid expenses. Forten Company Balance Sheet As of December 31, 2019 and 2020 Assets Cash Accounts receivable Inventory Prepaid expenses Total current assets Equipment Accumulated depreciation - Equipment Total assets Liabilities and Equity Accounts payable Short-term notes payable Total current liabilities Long-term notes payable Total llabiities \begin{tabular}{|r|r|r|} \hline$49,800 & $ & 73,500 \\ \hline 65,810 & & 50,625 \\ \hline 275,656 & & 251,800 \\ \hline \end{tabular} 36 \begin{tabular}{|c|c|} \hline 1,250 & 1,875 \\ \hline 392,516 & 377,800 \\ \hline 157,500 & 108,000 \\ \hline(36,625) & (46,000) \\ \hline 513,391 & 439,800 \\ \hline \end{tabular} 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 5655 56 Additional information: 58 59 60 61 62 63 64 65 66 67 68 69 70 Part 1: Prepare a complete statement of cash flows using the indirect method for the current year. Disclose any non-cash investing and financing activities in a note to the financial statements. 71 Make sure that you prepare the statement in good form. Part 1: Prepare a complete statement of cash flows using the indirect method for the current year. Disclose any non-cash investing and financing activities in a note to the financial statements. Make sure that you prepare the statement in good form. Part 2: Analyze and discuss the statement of cash flows prepared in Part 1, Giving special attention to the wisdom of the cash dividend payment. You should place that commentary within this document below here. This should be about a paragraph in length 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