Please provide answer in text (Without image) Headland Corporation has contracted with you to prepare a statement of cash flows. The controller has provided the followinginformation.CashAccounts receivableInventoryEquity investmentsBuildingsEquipmentCopyrightsTotalsAllowance for doubtful accountsAccumulated depreciation-equipmentAccumulated depreciation-buildingsAccounts payableDividends payableNotes payable, short-term (nontrade)Long-term notes payableCommon stockRetained earnings1.Additional data related to 2025 are as follows.23.4.5.6.7.December 312025$38.90012.20011.800-0--0-40.4005,000$108,300$3.0002.000-0-5,000-0-3,00036.0002024$12.8009.90010.0003.10029.60020.2005.200$90,800$4,6004.5005.9004,0004,9004,00025.00038.000 33.00021,300$108,3004.900$90.800Equipment that had cost $10.900 and was 30% depreciated at time of disposal was sold for $2.500.$5.000 of the long-term note payable was paid by issuing common stock.Cash dividends paid were $4,900.On January 1, 2025, the building was completely destroyed by a flood. Insurance proceeds on the building were $32,800 (netof $4.000 taxes).Equity investments (ownership is less than 20% of total shares) were sold at $1.600 above their cost. No unrealized gains orlosses were recorded in 2025.Cash of $15.100 and a long-term note for $16,000 were given for the acquisition of equipment.Interest of $1.900 and income taxes of $5,000 were paid in cash.(a) Use the indirect method to analyze the above information and prepare a statement of cash flows for Headland (Show amounts thatdecrease cash flow with either a-sign e.g. -15,000 or in parenthesis eg. (15,000))

The cash flow statement is prepared at the end of the period to determine the cash position. It…

Headland Corporation has contracted with you to prepare a statement of cash flows. The controller has provided the following information. Cash Accounts receivable Inventory Equity investments Buildings Equipment December 31 2025 $38.900 12.200 11.800 -0- 40,400 5.000 2024 $12.800 9.900 10,000 3.100 29,600 20.200 5000

Headland Corporation has contracted with you to prepare a statement of cash flows. The controller has provided the following information. Cash Accounts receivable Inventory Equity investments Buildings Equipment December 31 2025 $38.900 12.200 11.800 -0- 40,400 5.000 2024 $12.800 9.900 10,000 3.100 29,600 20.200 5000

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter12: The Statement Of Cash Flows

Section: Chapter Questions

Problem 12.2E

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