Assignemnt: Statement of cash flows preparation.
Selected financial statement information and additional data for Stanislaus Co. is presented below. Prepare a statement of cash flows for the year ending December 31, 2017.
December 31
2016 2017
Cash......................................................... $42,000 $60,000
Accounts receivable (net)........................ 84,000 144,200
Inventory.................................................. 168,000 206,600
Land......................................................... 58,800 26,000
Equipment................................................ 504,000 789,600
TOTAL......................................... $856,800 $1,226,400
Accumulated depreciation....................... $84,000 $110,600
Accounts payable.................................... 50,400 91,000
Notes payable - short-term...................... 67,200 29,400
Notes payable - long-term....................... 168,000 302,400
Common stock........................................ 420,000 487,200
Retained earnings.................................... 67,200 205,800
TOTAL......................................... $856,800 $1,226,400
Additional data for 2017:
1. Net income was $230,200.
2. Depreciation was $31,600.
3. Land was sold at its original cost.
4. Dividends of $91,600 were paid.
5. Equipment was purchased for $84,000 cash.
6. A long-term note for $201,600 was used to pay for an equipment purchase.
7. Common stock was issued to pay a $67,200 long-term note payable.