On the basis of the following stockholders' equity accounts, indicate the items, exclusive of net income, to be reported on the statement of cash flows. There were no unpaid dividends at either the beginning or the end of the year. If an amount is not reported on the statement of cash flows, enter in "0" in the Amount column.

FINANCIAL ACCOUNTING
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Chapter1: Financial Statements And Business Decisions
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Reporting Stockholders' Equity Items on Statement of Cash Flows

On the basis of the following stockholders' equity accounts, indicate the items, exclusive of net income, to be reported on the statement of cash flows. There were no unpaid dividends at either the beginning or the end of the year.

If an amount is not reported on the statement of cash flows, enter in "0" in the Amount column.

 

ACCOUNT Common Stock, $40 par
ACCOUNT NO.
Balance
Date
Item
Debit
Credit
Debit
Credit
Jan.
1
Balance, 120,000 shares
4,800,000
Apг.
2
30,000 shares issued for cash
1,200,000
6,000,000
June 30
4,400-share stock dividend
176,000
6,176,000
ACCOUNT Paid-In Capital in Excess of Par-Common Stock
HETE
ACCOUNT NO.
Balance
Date
Item
Debit
Credit
Debit
Credit
Jan.
1
Balance
360,000
Apг.
30,000 shares issued for cash
720,000
1,080,000
June
30
Stock dividend
114,400
1,194,400
ACCOUNT Retained Earnings
ACCOUNT NO.
Balance
Date
Item
Debit
Credit
Debit
Credit
Jan.
1.
Balance
2,000,000
June
30
Stock dividend
290,400
1,709,600
Dec.
30
Cash dividend
463,200
1,246,400
Dec.
31
Net income
1,440,000
2,686,400
Transcribed Image Text:ACCOUNT Common Stock, $40 par ACCOUNT NO. Balance Date Item Debit Credit Debit Credit Jan. 1 Balance, 120,000 shares 4,800,000 Apг. 2 30,000 shares issued for cash 1,200,000 6,000,000 June 30 4,400-share stock dividend 176,000 6,176,000 ACCOUNT Paid-In Capital in Excess of Par-Common Stock HETE ACCOUNT NO. Balance Date Item Debit Credit Debit Credit Jan. 1 Balance 360,000 Apг. 30,000 shares issued for cash 720,000 1,080,000 June 30 Stock dividend 114,400 1,194,400 ACCOUNT Retained Earnings ACCOUNT NO. Balance Date Item Debit Credit Debit Credit Jan. 1. Balance 2,000,000 June 30 Stock dividend 290,400 1,709,600 Dec. 30 Cash dividend 463,200 1,246,400 Dec. 31 Net income 1,440,000 2,686,400
Item
Section of Statement of Cash Flows
Added or Deducted
Amount
Sale of common stock
Cash dividend
Stock dividend
Transcribed Image Text:Item Section of Statement of Cash Flows Added or Deducted Amount Sale of common stock Cash dividend Stock dividend
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