can you please help me with this? Problems Series BNet cash flow fromoperating activities,$154,260SPREADSHEETNet cash flow fromoperating activities,$561,400SPREADSHEETCashAccounts receivable (net).InventoriesInvestmentsPR 16-18 Statement of cash flows-indirect methodOBJ. 2The comparative balance sheet of Merrick Equipment Co. for December 31, 2014 and2013, is as follows:Land ......Equipment....Accumulated depreciation-equipment..AssetsLiabilities and Stockholders' EquityAccounts payable (merchandise creditors) ...Accrued expenses payable (operating expenses)Dividends payable....Common stock, $1 par...Paid-in capital: Excess of issue price over par-common stock....Retained earnings..CashAccounts receivable (net)Inventories ..Chapter 16 Statement of Cash FlowsPrepaid expensesLand .....AssetsBuildings...Accumulated depreciation-buildings.Dec. 31, 2014$ 70,720207,230298,5200295,800438,600(99,110)$1,211,760Additional data obtained from an examination of the accounts in the ledger for 2014are as follows:Machinery and equipment......Accumulated depreciation-machinery and equipment...Patents..CON$ 205,70030,60025,500202,000354,000393,960$1,211,760a. Equipment and land were acquired for cash.b. There were no disposals of equipment during the year.c. The investments were sold for $91,800 cash.d. The common stock was issued for cash.e. There was a $141,680 credit to Retained Earnings for net income.f. There was a $102,000 debit to Retained Earnings for cash dividends declared.InstructionsPrepare a statement of cash flows, using the indirect method of presenting cash flowsfrom operating activities.PR 16-2B Statement of cash flows-indirect methodOBJ. 2The comparative balance sheet of Harris Industries Inc. at December 31, 2014 and 2013,is as follows:Dec. 31, 2013$ 47,940188,190289,850102,0000358,020(84,320)$901,680Dec. 31, 2014$194,14026,86020,400102,000204,000354,280$901,680$ 443,240665,280887,88031,640302,4001,713,600(466,200)781,200(214,200)106,960$4,251,800771Dec. 31, 2013$360,920592,2001,022,56025,200302,4001,134,000(414,540)781,200(191,520)112,000$3,724,420(Continued)I Cash flows from operating activities:Net incomeAdjustments to reconcile net income to net cashflow from operating activities:DepreciationLoss on sale of investmentsChanges in current operating assets and liabilities:Increase in accounts receivableIncrease in inventoriesIncrease in accounts payableIncrease in accrued expenses payableNet cash flow from operating activitiesCash flows from investing activities:Cash received from sale of investmentsLess cash paid for purchase of landLess cash paid for purchase of equipmentNet cash flow used for investing activitiesCash flows from financing activities:Cash received from sale of common stockLess cash paid for dividendsNet cash flow provided by financing activitiesMERRICK EQUIPMENT CO.Statement of Cash FlowsFor the Year Ended December 31, 2014Increase in cashCash at the beginning of the yearCash at the end of the yearOptional:CashAccounts receivable (net)InventoriesInvestmentsOperating activities:Net incomeLandEquipmentAccum. depr. - equipmentAccounts payableAccrued expenses payableDividends payableCommon stock, $1 parPaid-in capital in excess of parRetained earningsTotalsPurchase of equipmentPurchase of landSale of investmentsDepreciationLoss on sale of investmentsIncrease in accounts receivableIncrease in inventoriesIncrease in accounts payableIncrease in accrued expenses payableInvesting activities:Financing activities:MERRICK EQUIPMENT CO.Spreadsheet (Work Sheet) for Statement of Cash FlowsFor the Year Ended December 31, 2014Declaration of cash dividendsSale of common stockNet increase in cashTotalsIncrease in dividends payableBalance,Dec. 31, 201347,940188,190289,850102,000JA358,020(84,320)(194,140)(26,860)(20,400)(102,000)(204,000)(354,280)$154,260TransactionsDebitCreditBalance,Dec. 31, 201470,720207,230298,520295,800438,600(99,110)(205,700)(30,600)(25,500)(202,000)(354,000)(393,960)

Note: As per our guidelines, we will solve the first three subparts for you 16-1B. One of the…

Problems Series B ✔Net cash flow from operating activities, $154,260 SPREADSHEET PR 16-1B Statement of cash flows-indirect method OBJ. 2 The comparative balance sheet of Merrick Equipment Co. for December 31, 2014 and 2013, is as follows: Cash Accounts receivable (net) Inventories Investments Land Assets Equipment... Accumulated depreciation-equipment. Liabilities and Stockholders' Equity Accounts payable (merchandise creditors) Accrued expenses payable (operating expenses) Dividends payable.. Common stock, $1 par.... Paid-in capital: Excess of issue price over par-common stock Retained earnings... Dec. 31, 2014 $ 70,720 207,230 298,520 0 295,800 438,600 (99,110) $1,211,760 $ 205,700 30,600 25,500 202,000 354,000 393,960 $1,211,760 Dec. 31, 2013 $ 47,940 188,190 289,850 102,000 0 358,020 (84,320) $901,680 $194,140 26,860 20,400 102,000 204,000 354,280 $901,680 Additional data obtained from an examination of the accounts in the ledger for 2014 are as follows: a. Equipment and land were acquired for cash. b. There were no disposals of equipment during the year. c. The investments were sold for $91,800 cash. d. The common stock was issued for cash. e. There was a $141,680 credit to Retained Earnings for net income. f. There was a $102,000 debit to Retained Earnings for cash dividends declared. Instructions Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities.

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q