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whats missing on my statement of cash flows ? or what is incorrecr The income statement, balance sheets, and additional information for Great Adventures, Inc.,
whats missing on my statement of cash flows ?
or what is incorrecr
The income statement, balance sheets, and additional information for Great Adventures, Inc., are provided below. $174,820 GREAT ADVENTURES, INC. Income Statement For the year ended December 31, 2022 Net revenues : Expenses: Cost of goods sold $39,000 Operating expenses 57,500 Depreciation expense 18,000 Interest expense 8,032 Income tax expense 15,000 Total expenses Net income 137,532 $ 37,288 GREAT ADVENTURES, INC. Balance Sheets December 31, 2022 and 2021 2022 2021 Increase (I) or Decrease (D) $ Assets Current assets: Cash Accounts receivable Inventory Other current assets Long-term assets: Land Buildings Equipment Accumulated depreciation Total assets 218,748 48,500 8,000 1,000 $ 61,200 0 0 4,900 $ 157,548 (I) 48,500 (1) 8,000 (1) 3,900 (D) 600,000 830,000 72,300 (26,250) $1,752,298 0 0 45,000 (8,250) $106,250 600,000 (1) 830,000 (1) 27,300 (I) 18,000 (1) $ 22,200 (I) Liabilities and Stockholders' Equity Current liabilities: Accounts payable Interest payable Income tax payable Other current liabilities Notes payable (current and long-term) Stockholders' equity Common stock Paid-in capital Retained earnings Treasury stock Total liabilities and stockholders' equity 25,200 800 15,000 24,000 623, 660 $ 3,000 800 14,100 0 31,000 130,000 995,000 58,638 (120,000) $1,752,298 20,000 0 33,950 0 $106,250 900 (1) 24,000 (I) 592,660 (I) 110,000 (I) 995,000 (1) 24,688 (I) (120,000) (I) Additional Information for 2022: 1. Land of $600,000 was obtained by issuing a note payable to the seller. 2. Buildings of $830,000 and equipment of $27,300 were purchased using cash. 3. Monthly payments during the year reduced notes payable by $7,340. 4. Issued common stock for $1,100,000 5. Purchased 11,000 shares of treasury stock for $20 per share. 6. Sold 5,000 shares of treasury stock at $21 per share. 7. Declared and paid a cash dividend of $12,600, Required: Prepare the statement of cash flows for the year ended December 31, 2022, using the indirect method. (List cash outflows and any decrease in cash as negative amounts.) GREAT ADVENTURES, INC. Statement of Cash Flows For the Year Ended December 31, 2022 Cash Flows from Operating Activities Net income $ 37.288 Adjustments to reconcile net income to net cash flows from operating activities: Depreciation expense 18,000 Increase in accounts receivable (48,500) GREAT ADVENTURES, INC. Statement of Cash Flows For the Year Ended December 31, 2022 Cash Flows from Operating Activities Net Income $ 37,288 Adjustments to reconcile net income to net cash flows from operating activities: Depreciation expense 18,000 Increase in accounts receivable (48,500) Increase in accounts payablo 22,200 Increase in inventory (8,000) Decrease in other current assets 3,900 Increase in income tax payable 900 Increase in other current liabilities 24,000 ok nt ences $ 49,788 Net cash flow from operating activities Cash Flows from Investing Activities Purchase of equipment Purchase of buildings (27,300) (830,000) (857,300) Net cash flow from investing activities Cash Flows from Financing Activities Issued common stock Payment of dividends Purchased treasury stock Sale of treasury stock Repayment of notes payable 1,100,000 (12,600) (220,000) 105,000 (7,340) Net cash flows from financing activities 965,060 157,548 61,200 218,748 $ Cash at the beginning of the period Cash at the end of the period Note: Noncash Activities Purchase land issuing a note payable $ 600.000 Step by Step Solution
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