Cerulean Corporation is a regional and online golf equipment retailer. The company reported the following for the current year: • Purchased a long-term investment for cash, $11,000. • Paid cash dividend, $13,600. • Sold equipment for $5,200 cash (cost, $19,400; accumulated depreciation, $14,200). • Issued shares of no-par stock, 420 shares at $10 cash per share. • Net income was $19,400. • Depreciation expense was $2,200. Its comparative balance sheet is presented below. Cash Accounts receivable Inventory Investments Equipment Accumulated Depreciation-Equipment Total Accounts payable Salaries and wages payable Income taxes payable. Notes payable (long-term) Common stock Retained earnings Total Cash T Account Ending Balances Other T Accounts $ 22,300 21, 200 75,800 11,000 94, 300 (19,200) $ 205,400 Stmt of Cash Flows $ 18,400 2,400 6,300 50,000 104, 200 24,100 $ 205,400 Beginning Balances $ 26,200 21,200 67,200 0 113,700 (31,200) $ 197,100 Required: 1. Complete the T-account worksheet to be used to prepare the statement of cash flows for the current year. 2. Based on the T-account worksheet, prepare the statement of cash flows for the current year in proper format. $ 20,600 4,300 3,900 50,000 Complete this question by entering your answers in the tabs below. 100,000 18,300 $ 197,100
Cerulean Corporation is a regional and online golf equipment retailer. The company reported the following for the current year: • Purchased a long-term investment for cash, $11,000. • Paid cash dividend, $13,600. • Sold equipment for $5,200 cash (cost, $19,400; accumulated depreciation, $14,200). • Issued shares of no-par stock, 420 shares at $10 cash per share. • Net income was $19,400. • Depreciation expense was $2,200. Its comparative balance sheet is presented below. Cash Accounts receivable Inventory Investments Equipment Accumulated Depreciation-Equipment Total Accounts payable Salaries and wages payable Income taxes payable. Notes payable (long-term) Common stock Retained earnings Total Cash T Account Ending Balances Other T Accounts $ 22,300 21, 200 75,800 11,000 94, 300 (19,200) $ 205,400 Stmt of Cash Flows $ 18,400 2,400 6,300 50,000 104, 200 24,100 $ 205,400 Beginning Balances $ 26,200 21,200 67,200 0 113,700 (31,200) $ 197,100 Required: 1. Complete the T-account worksheet to be used to prepare the statement of cash flows for the current year. 2. Based on the T-account worksheet, prepare the statement of cash flows for the current year in proper format. $ 20,600 4,300 3,900 50,000 Complete this question by entering your answers in the tabs below. 100,000 18,300 $ 197,100
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
Transcribed Image Text:Cerulean Corporation is a regional and online golf equipment retailer. The company reported the following for the current year:
• Purchased a long-term investment for cash, $11,000.
• Paid cash dividend, $13,600.
• Sold equipment for $5,200 cash (cost, $19,400; accumulated depreciation, $14,200).
• Issued shares of no-par stock, 420 shares at $10 cash per share.
• Net income was $19,400.
• Depreciation expense was $2,200.
Its comparative balance sheet is presented below.
Cash
Accounts receivable
Inventory
Investments
Equipment
Accumulated Depreciation-Equipment
Total
Accounts payable
Salaries and wages payable
Income taxes payable
Notes payable (long-term)
Common stock
Retained earnings
Total
Ending
Balances
$ 22,300
21, 200
75,800
11,000
94,300
(19,200)
$ 205,400
$ 18,400
2,400
6,300
50,000
104, 200
24,100
$ 205,400
Beginning
Balances
$ 26,200
21, 200
67,200
0
113,700
(31,200)
$ 197,100
$ 20,600
4,300
3,900
50,000
100,000
18,300
$ 197,100
Required:
1. Complete the T-account worksheet to be used to prepare the statement of cash flows for the current year.
2. Based on the T-account worksheet, prepare the statement of cash flows for the current year in proper format.
Complete this question by entering your answers in the tabs below.
Cash T
Account
Other T
Accounts
Stmt of Cash
Flows
Complete the T-account worksheet to be used to prepare the statement of cash flows for the current year.
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