Menu
support@graduatecourseshelp.com
+1(805) 568 7317

prepare a statement of cash flows under the indirect method 626116

The following comparative balance sheets and other data are for

Dayton Tent & Awning Sales, Inc.:

Dayton Tent & Awning Sales, Inc.

Comparative Balance Sheets 2011 June 30 and 2010

Assets

2011

2010

Cash

   

Accounts receivable, net

$ 441,800

$ 332,600

Merchandise inventory

7,50,750

4,32,900

Prepaid insurance

8,19,000

8,50,200

Land

3,900

5,850

Buildings

3,12,000

3,51,000

Machinery and tools

21,84,000

12,09,000

Accumulated depreciation – machinery and

8,58,000

4,68,000

tools

-8,09,250

510,900)

Total assets

$

$

Liabilities and stockholders” equity

45,60,200

31,38,650

Accounts payable

$ 226,750

$ 275,500

Accrued liabilities payable

1,85,800

1,11,700

Bank loans (due in 2009)

56,550

66,300

Mortgage bonds payable

3,82,200

1,85,250

Common stock – $100 par

17,55,000

5,85,000

Paid-in capital in excess of par

58,500

0-

Retained earnings

18,95,400

19,14,900

Total liabilities and stockholders” equity

$

$

 

45,60,200

31,38,650

Net income for the year was USD 128,000.

Depreciation for the year was USD 356,850.

There was a gain of USD 7,800 on the sale of land. The land was sold for USD 46,800. The additional mortgage bonds were issued at face value as partial payment for a

building valued at USD 975,000. The amount of cash paid was USD 778,050.

Machinery and tools were purchased for USD 448,500 cash. Fully depreciated machinery with a cost of USD 58,500 was scrapped and written off.

Additional common stock was issued at USD 105 per share. The total proceeds  were USD 1,228,500.

Dividends declared and paid were USD 147,500.

A payment was made on the bank loan, USD 9,750.

The company paid interest of USD 9,000 and income taxes of USD 75,000.

a. Prepare a working paper for a statement of cash flows.

b. Prepare a statement of cash flows under the indirect method. Also prepare any

"Order a similar paper and get 15% discount on your first order with us
Use the following coupon
"GET15"

Order Now