Purchase of equipment $ 221,000 Increase in inventory 27,000 Increase in prepaid rent 8,500 Payment of dividends Depreciation expense 33,000 12,000 Increase in accounts receivable 47,000 Increase in accounts payable 16,000 Loss on sale of land 14,500 Net income 63,000 Repayment of notes payable 43,000 Cash received from the sale of land 4,000 Issuance of common stock 243,000

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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Prepare cash flow statements.

$ 221,000
Purchase of equipment
Increase in inventory
27,000
Increase in prepaid rent
8,500
Payment of dividends
33,000
Depreciation expense
12,000
Increase in accounts receivable
47,000
Increase in accounts payable
16,000
Loss on sale of land
14,500
Net income
63,000
Repayment of notes payable
43,000
Cash received from the sale of land 4,000
Issuance of common stock
243,000
Transcribed Image Text:$ 221,000 Purchase of equipment Increase in inventory 27,000 Increase in prepaid rent 8,500 Payment of dividends 33,000 Depreciation expense 12,000 Increase in accounts receivable 47,000 Increase in accounts payable 16,000 Loss on sale of land 14,500 Net income 63,000 Repayment of notes payable 43,000 Cash received from the sale of land 4,000 Issuance of common stock 243,000
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