Prepare cash flows statement, use indirect method for operating cash flow.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Question 3:
KLM Co. had the following information in 2020:
Issuance of common stock
32000
Payment of dividends
Bank loan repaid
Purchase of equipment
Issuance of bonds payable
Sale of long Term Assets
Decrease in Accounts receivable
15000
21000
55000
29000
24000
17000
Purchase of short term investment
12000
Increase of prepaid expenses
15000
Purchase of land
50000
Net Profit
37800
Depreciation
18500
Amortization
9500
Prepare cash flows statement, use indirect method for operating cash flow.
Transcribed Image Text:Question 3: KLM Co. had the following information in 2020: Issuance of common stock 32000 Payment of dividends Bank loan repaid Purchase of equipment Issuance of bonds payable Sale of long Term Assets Decrease in Accounts receivable 15000 21000 55000 29000 24000 17000 Purchase of short term investment 12000 Increase of prepaid expenses 15000 Purchase of land 50000 Net Profit 37800 Depreciation 18500 Amortization 9500 Prepare cash flows statement, use indirect method for operating cash flow.
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