Jim Bell, CFO of GameStop Corp. has completed the basic format to be used in preparing the statement of cash flows (indirect method) for GameStop. Listed below in random order are line items to be included in the statement of cash flows. Purchase of equipment $415,500 Increase in inventory 37,720 Decrease in prepaid rent 8,300 Payment of dividends 19,500 Depreciation expense 24,250 Increase in accounts receivable 41,300 Increase in wages payable 9,600 Loss on sale of land 7,493 Net income 545,100 Repayment of notes payable 51,170 Decrease in accounts payable 13,201 Cash received from the sale of land 3,870 Issuance of common stock 250,320 Prepare the statement of cash flows for GameStop using the indirect method. GameStop Corp. Statement of Cash Flows For the Year Ended December 31, 2021 Cash Flows from Operating Activities Net income Adjustments to reconcile net income to net cash flows from operating activities: Net cash flows from operating activities Cash Flows from Investing Activities Net cash flows from investing activities Cash Flows from Financing Activities Net cash flows from financing activities Net increase (decrease) in cash Cash at the beginning of the period 95,000 Cash at the end of the period
Jim Bell, CFO of GameStop Corp. has completed the basic format to be used in preparing the statement of
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Purchase of equipment |
$415,500 |
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Increase in inventory |
37,720 |
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Decrease in prepaid rent |
8,300 |
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Payment of dividends |
19,500 |
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24,250 |
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Increase in |
41,300 |
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Increase in wages payable |
9,600 |
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Loss on sale of land |
7,493 |
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Net income |
545,100 |
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Repayment of notes payable |
51,170 |
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Decrease in accounts payable |
13,201 |
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Cash received from the sale of land |
3,870 |
|
Issuance of common stock |
250,320 |
Prepare the statement of cash flows for GameStop using the indirect method.
GameStop Corp.
Statement of Cash Flows
For the Year Ended December 31, 2021
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Cash Flows from Operating Activities |
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Net income |
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Adjustments to reconcile net income to net cash flows from operating activities: |
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Net cash flows from operating activities |
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Cash Flows from Investing Activities |
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Net cash flows from investing activities |
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Cash Flows from Financing Activities |
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Net cash flows from financing activities |
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Net increase (decrease) in cash |
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Cash at the beginning of the period |
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95,000 |
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Cash at the end of the period |
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