Danton Corporation has provided the following information for the year ended December 31, 2024. Danton Corporation Comparative Balance Sheet December 31, 2024 and 2023 Increase 2024 2023 (Decrease) Cash $52,000 $13,000 $39,000 Accounts Receivable 30,000 36,000 (6,000) Merchandise Inventory 50,000 29,000 21,000 Plant Assets, net 102,000 97,000 5,000 Total Assets $234,000 $175,000 $59,000 Accounts Payable $9,000 $13,000 $(4,000) Accrued Liabilities 7,000 3,000 4,000 Long-term Notes Payable 69,000 79,000 (10,000) Total Liabilities 85,000 95,000 (10,000) Common Stock 50,000 8,000 42,000 Retained Earnings 111,000 78,000 33,000 Treasury Stock (12,000) (6,000) (6,000) Total Stockholders' Equity 149,000 80,000 69,000 Total Liabilities and Stockholders' Equity $234,000 $175,000 $59,000 Diamond Corp Income Statement Year ended December 31, 2024 Sales Revenue $290,000 Interest Revenue 1,000 Gain on Sale of Plant Assets 1,000 Total Revenues and Gains $292,000 Cost of Goods Sold 145,000 Salaries and Wages Expense 49,000 Depreciation Expense—Plant Assets 10,000 Other Operating Expense 25,000 Interest Expense 3,500 Income Tax Expense 7,000 Total Expenses 240,000 Net Income $51,000 Additional information provided by the company includes the following: Equipment costing $30,000 was purchased for cash. Equipment with a net book value of $15,000 was sold for $16,000. Depreciation expense of $10,000 was recorded during the year. During 2024, the company repaid $40,000 of long-term notes payable. During 2024, the company borrowed $30,000 on a new long-term note payable. Common Stock was issued for cash. There were no stock retirements during the year. There were no sales of treasury stock during the year. All sales are on credit. Prepare the 2024 statement of cash flows, using the indirect method.

Danton Corporation has provided the following information for the year ended December 31, 2024. Danton Corporation Comparative Balance Sheet December 31, 2024 and 2023 Increase 2024 2023 (Decrease) Cash $52,000 $13,000 $39,000 Accounts Receivable 30,000 36,000 (6,000) Merchandise Inventory 50,000 29,000 21,000 Plant Assets, net 102,000 97,000 5,000 Total Assets $234,000 $175,000 $59,000 Accounts Payable $9,000 $13,000 $(4,000) Accrued Liabilities 7,000 3,000 4,000 Long-term Notes Payable 69,000 79,000 (10,000) Total Liabilities 85,000 95,000 (10,000) Common Stock 50,000 8,000 42,000 Retained Earnings 111,000 78,000 33,000 Treasury Stock (12,000) (6,000) (6,000) Total Stockholders' Equity 149,000 80,000 69,000 Total Liabilities and Stockholders' Equity $234,000 $175,000 $59,000 Diamond Corp Income Statement Year ended December 31, 2024 Sales Revenue $290,000 Interest Revenue 1,000 Gain on Sale of Plant Assets 1,000 Total Revenues and Gains $292,000 Cost of Goods Sold 145,000 Salaries and Wages Expense 49,000 Depreciation Expense—Plant Assets 10,000 Other Operating Expense 25,000 Interest Expense 3,500 Income Tax Expense 7,000 Total Expenses 240,000 Net Income $51,000 Additional information provided by the company includes the following: Equipment costing $30,000 was purchased for cash. Equipment with a net book value of $15,000 was sold for $16,000. Depreciation expense of $10,000 was recorded during the year. During 2024, the company repaid $40,000 of long-term notes payable. During 2024, the company borrowed $30,000 on a new long-term note payable. Common Stock was issued for cash. There were no stock retirements during the year. There were no sales of treasury stock during the year. All sales are on credit. Prepare the 2024 statement of cash flows, using the indirect method.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Question

Danton Corporation has provided the following information for the year ended December 31, 2024.

Danton Corporation

Comparative Balance Sheet

December 31, 2024 and 2023

Increase

2024 2023 (Decrease)

Cash $52,000 $13,000 $39,000

Accounts Receivable 30,000 36,000 (6,000)

Merchandise Inventory 50,000 29,000 21,000

Plant Assets, net 102,000 97,000 5,000

Total Assets $234,000 $175,000 $59,000

Accounts Payable $9,000 $13,000 $(4,000)

Accrued Liabilities 7,000 3,000 4,000

Long-term Notes Payable 69,000 79,000 (10,000)

Total Liabilities 85,000 95,000 (10,000)

Common Stock 50,000 8,000 42,000

Retained Earnings 111,000 78,000 33,000

Treasury Stock (12,000) (6,000) (6,000)

Total Stockholders' Equity 149,000 80,000 69,000

Total Liabilities and Stockholders' Equity $234,000 $175,000 $59,000

Diamond Corp

Income Statement

Year ended December 31, 2024

Sales Revenue $290,000

Interest Revenue 1,000

Gain on Sale of Plant Assets 1,000

Total Revenues and Gains $292,000

Cost of Goods Sold 145,000

Salaries and Wages Expense 49,000

Depreciation Expense—Plant Assets 10,000

Other Operating Expense 25,000

Interest Expense 3,500

Income Tax Expense 7,000

Total Expenses 240,000

Net Income $51,000

Additional information provided by the company includes the following:

Equipment costing $30,000 was purchased for cash.

Equipment with a net book value of $15,000 was sold for $16,000.

Depreciation expense of $10,000 was recorded during the year.

During 2024, the company repaid $40,000 of long-term notes payable.

During 2024, the company borrowed $30,000 on a new long-term note payable.

Common Stock was issued for cash.

There were no stock retirements during the year.

There were no sales of treasury stock during the year.

All sales are on credit.

Prepare the 2024 statement of cash flows, using the indirect method.

Expert Solution

Trending now

This is a popular solution!

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.