Assets Cash Total Accounts receivable Inventory Equipment Accumulated depreciation-equipment Total Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Sales revenue Balance Sheets 1 December 31 2 3 4 Additional data: (a) 2020 $38,000 30,000 27,000 Cost of goods sold Gross profit 60.000 Net income (29,000) $126,000 $24,000 7,000 27,000 18,000 50,000 $126,000 Income tax expense NOSKER COMPANY Income Statement For the Year Ended December 31, 2020 Additional data: 2019 $20,000 14.000 20,000 78,000 (24,000) $108,000 Operating expenses Income from operations NOSKER COMPANY Statement of Cash Flows $15,000 8.000 33.000 14,000 Interest expense Income before income taxes 38.000 $108.000 $242,000 175,000 67,000 24,000 43,000 3,000 40,000 8,000 $32,000 Dividends declared and paid were $20.000 During the year, equipment was sold for $8,500 cash. This equipment cost $18,000 originally and had a book value of $8.500 at the time of sale. All depreciation expense. $14.500, is in the operating expenses All sales and purchases are on account Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a-sign-15,000 or in parenthesis eg. (15,0001)
Assets Cash Total Accounts receivable Inventory Equipment Accumulated depreciation-equipment Total Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Sales revenue Balance Sheets 1 December 31 2 3 4 Additional data: (a) 2020 $38,000 30,000 27,000 Cost of goods sold Gross profit 60.000 Net income (29,000) $126,000 $24,000 7,000 27,000 18,000 50,000 $126,000 Income tax expense NOSKER COMPANY Income Statement For the Year Ended December 31, 2020 Additional data: 2019 $20,000 14.000 20,000 78,000 (24,000) $108,000 Operating expenses Income from operations NOSKER COMPANY Statement of Cash Flows $15,000 8.000 33.000 14,000 Interest expense Income before income taxes 38.000 $108.000 $242,000 175,000 67,000 24,000 43,000 3,000 40,000 8,000 $32,000 Dividends declared and paid were $20.000 During the year, equipment was sold for $8,500 cash. This equipment cost $18,000 originally and had a book value of $8.500 at the time of sale. All depreciation expense. $14.500, is in the operating expenses All sales and purchases are on account Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a-sign-15,000 or in parenthesis eg. (15,0001)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Prepare a Statement of
Transcribed Image Text:Assets
Cash
Accounts receivable
Inventory
Equipment
Accumulated depreciation-equipment
Total
Liabilities and Stockholders' Equity
Accounts payable
Income taxes payable
Bonds payable
Common stock
Retained earnings
Total
Sales revenue
December 31
lance Sheets
2
3.
(a)
2020
$38,000
30,000
27,000
Additional data:
60.000
(29,000)
$126,000
Net income
$24,000
7,000
27.000
Cost of goods sold
Gross profit
18,000
50,000
$126.000
Interest expense
Income tax expense
Additional data:
2019
$20,000
NOSKER COMPANY
Income Statement
For the Year Ended December 31, 2020
14.000
20,000
78,000
(24,000)
Operating expenses
Income from operations
$108,000
NOSKER COMPANY
Statement of Cash Flows
$15,000
8.000
33,000
14,000
Income before income taxes
38.000
$108,000
$242,000
175.000
67,000
24,000
43,000
3,000
1 Dividends declared and paid were $20.000
During the year, equipment was sold for $8,500 cash. This equipment cost $18.000 originally and had a book value of $8.500
at the time of sale.
All depreciation expense. $14.500, is in the operating expenses.
All sales and purchases are on account.
40,000
8,000
$32,000
Prepare a statement of cash flows using the indirect method. (Show amounts that decrease cash flow with either a-ng-15,000
or in parenthesis eg. (15,0001)
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