Following is a partially completed balance sheet for Hoeman Inc. at December 31, 2020, together with comparative data for the year ended December 31, 2019. From the statement of cash flows for the year ended December 31, 2020, you determine the following: • Net Income for the year ended December 31, 2020, was $98,000, Dividends paid during the year ended December 31, 2020, were $66,000. • Accounts receivable decreased $10,000 during the year ended December 31, 2020. The cost of new buildings acquired during 2020 was $133,500. No buildings were disposed of during 2020. The land account was not affected by any transactions during the year, but the fair value of the land at December 31, 2020, was $194,000. Required: a. Complete the December 31, 2020, balance sheet. (Hint: Long-term debt is the last number to compute to make the balance sheet balance.) b. Prepare a statement of cash flows for the year ended December 31, 2020, using the Indirect method. Complete this question by entering your answers in the tabs below. Required A Prepare a statement of cash flows for the year ended December 31, 2020, using the indirect method. (Amounts to be deducted should be indicated by a minus sign.) Required B HOEMAN INC. Statement of Cash Flows For the Year Ended December 31, 2020 Cash flows from operating activities: Adi (dadunt) itame not affecting anch Cash paid to acquire new buildings Cash received from issuance of common stock Cash received from issuance of long-term debt Decrease in accounts payable Cash flows from investing activities: Cash flows from financing activities: Cash balance, January 1, 2020 Cash balance, December 31, 2020 < Required A Required B >

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
icon
Concept explainers
Topic Video
Question
Following is a partially completed balance sheet for Hoeman Inc. at December 31, 2020, together with comparative data for the year
ended December 31, 2019. From the statement of cash flows for the year ended December 31, 2020, you determine the following:
• Net Income for the year ended December 31, 2020, was $98,000.
• Dividends paid during the year ended December 31, 2020, were $66,000.
Accounts receivable decreased $10,000 during the year ended December 31, 2020.
• The cost of new buildings acquired during 2020 was $133,500.
No buildings were disposed of during 2020.
The land account was not affected by any transactions during the year, but the fair value of the land at December 31, 2020, was
$194.000.
Required:
a. Complete the December 31, 2020, balance sheet. (Hint: Long-term debt is the last number to compute to make the balance sheet
balance.)
b. Prepare a statement of cash flows for the year ended December 31, 2020, using the Indirect method.
Complete this question by entering your answers in the tabs below.
Required A Required B
Prepare a statement of cash flows for the year ended December 31, 2020, using the indirect method. (Amounts to be
deducted should be indicated by a minus sign.)
HOEMAN INC.
Statement of Cash Flows
For the Year Ended December 31, 2020
Cash flows from operating activities:
Ad (dodust) itsme not affecting nack
Cash paid to acquire new buildings
Cash received from issuance of common stock
Cash received from issuance of long-term debt
Decrease in accounts payable
Cash flows from investing activities:
Cash flows from financing activities:
Cash balance, January 1, 2020
Cash balance, December 31, 2020
< Required A
Required B >
Transcribed Image Text:Following is a partially completed balance sheet for Hoeman Inc. at December 31, 2020, together with comparative data for the year ended December 31, 2019. From the statement of cash flows for the year ended December 31, 2020, you determine the following: • Net Income for the year ended December 31, 2020, was $98,000. • Dividends paid during the year ended December 31, 2020, were $66,000. Accounts receivable decreased $10,000 during the year ended December 31, 2020. • The cost of new buildings acquired during 2020 was $133,500. No buildings were disposed of during 2020. The land account was not affected by any transactions during the year, but the fair value of the land at December 31, 2020, was $194.000. Required: a. Complete the December 31, 2020, balance sheet. (Hint: Long-term debt is the last number to compute to make the balance sheet balance.) b. Prepare a statement of cash flows for the year ended December 31, 2020, using the Indirect method. Complete this question by entering your answers in the tabs below. Required A Required B Prepare a statement of cash flows for the year ended December 31, 2020, using the indirect method. (Amounts to be deducted should be indicated by a minus sign.) HOEMAN INC. Statement of Cash Flows For the Year Ended December 31, 2020 Cash flows from operating activities: Ad (dodust) itsme not affecting nack Cash paid to acquire new buildings Cash received from issuance of common stock Cash received from issuance of long-term debt Decrease in accounts payable Cash flows from investing activities: Cash flows from financing activities: Cash balance, January 1, 2020 Cash balance, December 31, 2020 < Required A Required B >
Following is a partially completed balance sheet for Hoeman Inc. at December 31, 2020, together with comparative data for the year
ended December 31, 2019. From the statement of cash flows for the year ended December 31, 2020, you determine the following:
• Net Income for the year ended December 31, 2020, was $98,000.
• Dividends paid during the year ended December 31, 2020, were $66,000.
• Accounts receivable decreased $10,000 during the year ended December 31, 2020.
• The cost of new buildings acquired during 2020 was $133,500.
• No buildings were disposed of during 2020.
• The land account was not affected by any transactions during the year, but the fair value of the land at December 31, 2020, was
$194,000.
Required:
a. Complete the December 31, 2020, balance sheet. (Hint: Long-term debt is the last number to compute to make the balance sheet
balance.)
b. Prepare a statement of cash flows for the year ended December 31, 2020, using the Indirect method.
Complete this question by entering your answers in the tabs below.
Required A
Complete the December 31, 2020, balance sheet. (Hint: Long-term debt is the last number to compute to make the balance
sheet balance.)
Assets:
Current assets:
Cash
Accounts receivable
Inventory
Required B
Total current assets
Total assets
Liabilities:
Current liabilities:
Accounts payable
HOEMAN INC.
Comparative Balance Sheets
At December 31, 2020 and 2019
2020
Land
Buildings
Less: Accumulated depreciation
Total land & buildings
Note payable
Total current liabilities
Long-term debt
Stockholders' Equity
Common stock
Retained earnings
Total stockholders' equity
Total liabilities and stockholders' equity
S 52,500 $ 48,000
145,000
184,500
$ 377,500
148,000
276,000
(114,500)
$ 309,500
$ 687,000
168,500
(132,000)
$
S 50,500 $
2019
155,500
$ 327,000 $ 317,000
$ 137,500
$
$
< Required A
188,500
128,500
48,000
184,500
232,500
687,000
Required B >
Transcribed Image Text:Following is a partially completed balance sheet for Hoeman Inc. at December 31, 2020, together with comparative data for the year ended December 31, 2019. From the statement of cash flows for the year ended December 31, 2020, you determine the following: • Net Income for the year ended December 31, 2020, was $98,000. • Dividends paid during the year ended December 31, 2020, were $66,000. • Accounts receivable decreased $10,000 during the year ended December 31, 2020. • The cost of new buildings acquired during 2020 was $133,500. • No buildings were disposed of during 2020. • The land account was not affected by any transactions during the year, but the fair value of the land at December 31, 2020, was $194,000. Required: a. Complete the December 31, 2020, balance sheet. (Hint: Long-term debt is the last number to compute to make the balance sheet balance.) b. Prepare a statement of cash flows for the year ended December 31, 2020, using the Indirect method. Complete this question by entering your answers in the tabs below. Required A Complete the December 31, 2020, balance sheet. (Hint: Long-term debt is the last number to compute to make the balance sheet balance.) Assets: Current assets: Cash Accounts receivable Inventory Required B Total current assets Total assets Liabilities: Current liabilities: Accounts payable HOEMAN INC. Comparative Balance Sheets At December 31, 2020 and 2019 2020 Land Buildings Less: Accumulated depreciation Total land & buildings Note payable Total current liabilities Long-term debt Stockholders' Equity Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity S 52,500 $ 48,000 145,000 184,500 $ 377,500 148,000 276,000 (114,500) $ 309,500 $ 687,000 168,500 (132,000) $ S 50,500 $ 2019 155,500 $ 327,000 $ 317,000 $ 137,500 $ $ < Required A 188,500 128,500 48,000 184,500 232,500 687,000 Required B >
Expert Solution
trending now

Trending now

This is a popular solution!

steps

Step by step

Solved in 3 steps

Blurred answer
Knowledge Booster
Financial Statements
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.
Similar questions
  • SEE MORE QUESTIONS
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education