(a)Prepare a statement of cash flows for 2022 using the indirect method. (Show amounts that decrease cash flow with either a -sign e.g. -15,000 or in parenthesis e.g. (15,000).)CONCORD COMPANYStatement of Cash FlowsAdjustments to reconcile net income to$<>$$ Here are comparative balance sheets for Concord Company.CONCORD COMPANYComparative Balance SheetsDecember 31Assets20222021Cash$81,760$24,640Accounts receivable97,44085,120Inventories190,400213,920Land80,640112,000Equipment291,200224,000Accumulated depreciation(73,920)(35,840)Total$667,520$623,840Liabilities and Stockholders' EquityAccounts payable$41,440$52,640Bonds payable168,000235,200Common stock ($1 par)241,920194,880Retained earnings216,160141,120Total$667,520$623,840Additional information:1.Net income for 2022 was $112,000.2.Cash dividends of $36,960 were declared and paid.3.Bonds payable amounting to $67,200 were redeemed for cash $67,200.4.Common stock was issued for $47,040 cash.5.Equipment that cost $56,000 and had a book value of $33,600 was sold for $40,320 during 2022; land was sold at cost.

Step 1:Computation of the depreciation expense: Calculations:*Accumulated depreciation on sale=…

Answered: (a) Prepare a statement of cash flows…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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