Comparative balance sheets for 2021 and 2020 and a statement of income for 2021 are given below for Metagrobolize Industries. Additional information from the accounting records of Metagrobolize also is provided.   METAGROBOLIZE INDUSTRIES Comparative Balance Sheets December 31, 2021 and 2020 ($ in thousands)   2021 2020 Assets                 Cash $ 405     $ 245     Accounts receivable   350       190     Inventory   500       275     Land   500       450     Building   900       900     Less: Accumulated depreciation   (200 )     (180 )   Equipment   2,500       2,150     Less: Accumulated depreciation   (325 )     (300 )   Patent   1,000       1,150       $ 5,630     $ 4,880     Liabilities                 Accounts payable $ 600     $ 400     Accrued liabilities   150       130     Lease liability—land   130       0     Shareholders' Equity                 Common stock   3,100       3,000     Paid-in capital—excess of par   750       700     Retained earnings   900       650       $ 5,630     $ 4,880         METAGROBOLIZE INDUSTRIES Income Statement For the Year Ended December 31, 2021 ($ in thousands) Revenues             Sales revenue $ 2,555         Gain on sale of land   30   $ 2,585   Expenses             Cost of goods sold   800         Depreciation expense—building   20         Depreciation expense—equipment   160         Loss on sale of equipment   10         Amortization of patent   150         Operating expenses   600     1,740   Net income       $ 845       Additional information from the accounting records: Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2021. During 2021, equipment with a cost of $150,000 (90% depreciated) was sold. The statement of shareholders’ equity reveals reductions of $150,000 and $445,000 for stock dividends and cash dividends, respectively.   Required: Prepare the statement of cash flows for Metagrobolize Industries using the indirect method. (Enter your answers in thousands (i.e., 10,000 should be entered as 10).) Amounts to be deducted should be indicated with a minus sign.)

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Chapter1: Financial Statements And Business Decisions
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Problem 21-17 (Algo) Statement of cash flows; indirect method [LO21-4, 21-8]

Comparative balance sheets for 2021 and 2020 and a statement of income for 2021 are given below for Metagrobolize Industries. Additional information from the accounting records of Metagrobolize also is provided.
 

METAGROBOLIZE INDUSTRIES
Comparative Balance Sheets
December 31, 2021 and 2020
($ in thousands)
  2021 2020
Assets                
Cash $ 405     $ 245    
Accounts receivable   350       190    
Inventory   500       275    
Land   500       450    
Building   900       900    
Less: Accumulated depreciation   (200 )     (180 )  
Equipment   2,500       2,150    
Less: Accumulated depreciation   (325 )     (300 )  
Patent   1,000       1,150    
  $ 5,630     $ 4,880    
Liabilities                
Accounts payable $ 600     $ 400    
Accrued liabilities   150       130    
Lease liability—land   130       0    
Shareholders' Equity                
Common stock   3,100       3,000    
Paid-in capital—excess of par   750       700    
Retained earnings   900       650    
  $ 5,630     $ 4,880    
 


 

METAGROBOLIZE INDUSTRIES
Income Statement
For the Year Ended December 31, 2021
($ in thousands)
Revenues            
Sales revenue $ 2,555        
Gain on sale of land   30   $ 2,585  
Expenses            
Cost of goods sold   800        
Depreciation expense—building   20        
Depreciation expense—equipment   160        
Loss on sale of equipment   10        
Amortization of patent   150        
Operating expenses   600     1,740  
Net income       $ 845  
 

 
Additional information from the accounting records:

  1. Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2021.
  2. During 2021, equipment with a cost of $150,000 (90% depreciated) was sold.
  3. The statement of shareholders’ equity reveals reductions of $150,000 and $445,000 for stock dividends and cash dividends, respectively.

 
Required:
Prepare the statement of cash flows for Metagrobolize Industries using the indirect method(Enter your answers in thousands (i.e., 10,000 should be entered as 10).) Amounts to be deducted should be indicated with a minus sign.)

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