Filnt Inc., a greeting card company, had the following statements prepared as of December 31, 2020. FLINT INC. COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2020 AND 2019 12/31/20 12/31/19 Cash కర,200 $7,100 Accounts recelvable 62,400 51.000 Short-term debt Investmenta (avallable-for-sale) 34,700 18,100 Inventory 40,400 60,300 Prepald rent 4,900 4,000 Equlpment 154,100 130,600 Accumulated depreclation-equlpment (34,900 ) (24,800 ) Copyrights ఉరి,400 49,800 Total assets $314,100 $296,100 Accounts payable $46,500 $40,200 Income taxes payable 4,000 6,000 Salarles and wages payable 8,100 4,100 Short-term loans payable 7,900 10,100 Long-term loans payable 59,600 68,400 Common stock, $10 par 100,000 100,000 Contributed capital, common stock 30,000 30,000 Retalned earnings 58,000 37,300 Total llabltles &. stockholders' equlty $314,100 $296,100 FLINT INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2020 Sales revenue $339,800 Cost of goods sold 176,500 Gross profit 163,300 Operating expenses Operating Income 120,500 42,800 Interest expense $11,300 Galn on sale of equlpment 2.000 9,300 Income before tax 33,500 Income tax expense 6,700 Net Income $26,800 Additlonal Informatlon: Dividends In the amount of $6,100 were declared and pald during 2020. Depreclation expense and amortizatlon expense are Included In operating expenses. 1. 2. 3. No unreallzed galns or losses have occurred on the Investments during the year. Equipment that had a cost of $20,100 and was 70% depreclated was sold during 2020. 4.
Filnt Inc., a greeting card company, had the following statements prepared as of December 31, 2020. FLINT INC. COMPARATIVE BALANCE SHEET AS OF DECEMBER 31, 2020 AND 2019 12/31/20 12/31/19 Cash కర,200 $7,100 Accounts recelvable 62,400 51.000 Short-term debt Investmenta (avallable-for-sale) 34,700 18,100 Inventory 40,400 60,300 Prepald rent 4,900 4,000 Equlpment 154,100 130,600 Accumulated depreclation-equlpment (34,900 ) (24,800 ) Copyrights ఉరి,400 49,800 Total assets $314,100 $296,100 Accounts payable $46,500 $40,200 Income taxes payable 4,000 6,000 Salarles and wages payable 8,100 4,100 Short-term loans payable 7,900 10,100 Long-term loans payable 59,600 68,400 Common stock, $10 par 100,000 100,000 Contributed capital, common stock 30,000 30,000 Retalned earnings 58,000 37,300 Total llabltles &. stockholders' equlty $314,100 $296,100 FLINT INC. INCOME STATEMENT FOR THE YEAR ENDING DECEMBER 31, 2020 Sales revenue $339,800 Cost of goods sold 176,500 Gross profit 163,300 Operating expenses Operating Income 120,500 42,800 Interest expense $11,300 Galn on sale of equlpment 2.000 9,300 Income before tax 33,500 Income tax expense 6,700 Net Income $26,800 Additlonal Informatlon: Dividends In the amount of $6,100 were declared and pald during 2020. Depreclation expense and amortizatlon expense are Included In operating expenses. 1. 2. 3. No unreallzed galns or losses have occurred on the Investments during the year. Equipment that had a cost of $20,100 and was 70% depreclated was sold during 2020. 4.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Prepare a statement of cash flows using the Indirect method. (Show amounts that decrease cash flow with either a - signeg.-15,000 or
in parenthesis eg. (15,000).)
FLINT INC.
Statement of Cash Flows
Adjustments to reconcile net income to
> >
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Transcribed Image Text:Flint Inc., a greetlng card company, had the following statements prepared as of December 31, 2020.
FLINT INC.
COMPARATIVE BALANCE SHEET
AS OF DECEMBER 31, 2020 AND 2019
12/31/20
12/31/19
Cash
$6,100
$7,100
Accounts recelvable
62,400
51,000
Short-term debt Investments (avallable-for-sale)
34,700
18,100
Inventory
40,400
60,300
Prepald rent
4,900
4,000
Equipment
154,100
130,600
Accumulated depreclatlon-equlpment
(34,900 )
(24,800 )
Copyrights
46,400
49,800
Total assets
$314,100
$296,100
Accounts payable
$46,500
$40,200
Income taxes payable
4,000
6,000
Salarles and wages payable
8,100
4,100
Short-term loans payable
7,900
10,100
Long-term loans payable
59,600
68,400
Common stock, $10 par
100,000
100,000
Contributed capital, common stock
30,000
30,000
Retalned earnings
58,000
37,300
Total labiles &. stockholders' equlty
$314,100
$296,100
FLINT INC.
INCOME STATEMENT
FOR THE YEAR ENDING DECEMBER 31, 2020
Sales revenue
$339,800
Cost of goods sold
176,500
Gross profit
163,300
Operating expenses
120,500
Operating Income
42,800
Interest expense
$11,300
Galn on sale of equlpment
2,000
9,300
Income before tax
33,500
Income tax expense
6,700
Net Income
$26,800
Additlonal Informatlon:
1.
Dividends In the amount of $6,100 were declared and pald during 2020.
2.
Depreclation expense and amortlzatlon expense are Included In operating expenses.
3.
No unreallzed galns or losses have occurred on the Investments during the year.
Equipment that had a cost of $20,1o0 and was 70% depreclated was sold during 2020.
4.
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