Additonal information: 1 New plant assets costing 320,000 were purchased for cash during the year. 2. Old plant assets having an orginal cost of 184,000 and accumulated depreciation of 155,200 were sold for 4800 cash. 3. Bonds payable matured and were paid off at fac value for cash. 4. A cash dividend of 83296 was declared and paid during the year. 5. Common stock was issued at par for cash. 6. There were no significant noncash transactions. Prepare a statement of cash flows using the indirect method.( Show amounts decreased by using -sign  or parenthesis)

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Additonal information:

1 New plant assets costing 320,000 were purchased for cash during the year.

2. Old plant assets having an orginal cost of 184,000 and accumulated depreciation of 155,200 were sold for 4800 cash.

3. Bonds payable matured and were paid off at fac value for cash.

4. A cash dividend of 83296 was declared and paid during the year.

5. Common stock was issued at par for cash.

6. There were no significant noncash transactions.

Prepare a statement of cash flows using the indirect method.( Show amounts decreased by using -sign  or parenthesis)

Condensed financial data of Pronghorn Inc. follow.
Assets
Cash
Accounts receivable
Inventory
Prepaid expenses
Long-term investments
Plant assets
Pronghorn Inc.
Comparative Balance Sheets
December 31
Accumulated depreciation
Total
Liabilities and Stockholders' Equity
Accounts payable
Accrued expenses payable
Bonds payable
Common stock
2025
$ 258,560
280,960
360,000
90,880
83,200
441,600
348,800
912,000
776,000
(160,000)
(166,400)
$2,184,000 $1,647,200
$ 326,400
52,800
352,000
2024
704,000
$ 154,880
121,600
329,120
$215,360
67,200
467,200
560,000
Transcribed Image Text:Condensed financial data of Pronghorn Inc. follow. Assets Cash Accounts receivable Inventory Prepaid expenses Long-term investments Plant assets Pronghorn Inc. Comparative Balance Sheets December 31 Accumulated depreciation Total Liabilities and Stockholders' Equity Accounts payable Accrued expenses payable Bonds payable Common stock 2025 $ 258,560 280,960 360,000 90,880 83,200 441,600 348,800 912,000 776,000 (160,000) (166,400) $2,184,000 $1,647,200 $ 326,400 52,800 352,000 2024 704,000 $ 154,880 121,600 329,120 $215,360 67,200 467,200 560,000
Accrued expenses payable
Bonds payable
Common stock
Retained earnings
Total
Sales revenue
Less:
Net income
1.
52,800
Additional information:
67,200
467,200
560,000
337,440
$2,184,000 $1,647,200
352,000
704,000
748,800
Pronghorn Inc.
Income Statement Data
For the Year Ended December 31, 2025
Cost of goods sold
Operating expenses, excluding depreciation
Depreciation expense
Income tax expense
Interest expense
Loss on disposal of plant assets
$433,472
39,712
148,800
87,296
15,136
24,000
$1,243,072
748,416
$494,656
New plant assets costing $320,000 were purchased for cash during the year.
CHACC00
Transcribed Image Text:Accrued expenses payable Bonds payable Common stock Retained earnings Total Sales revenue Less: Net income 1. 52,800 Additional information: 67,200 467,200 560,000 337,440 $2,184,000 $1,647,200 352,000 704,000 748,800 Pronghorn Inc. Income Statement Data For the Year Ended December 31, 2025 Cost of goods sold Operating expenses, excluding depreciation Depreciation expense Income tax expense Interest expense Loss on disposal of plant assets $433,472 39,712 148,800 87,296 15,136 24,000 $1,243,072 748,416 $494,656 New plant assets costing $320,000 were purchased for cash during the year. CHACC00
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