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The comparative balance sheets for 2024 and 2023 and the statement of income for 2024 are given below for Dux Company. Additional information from Dux's accounting records is provided also. Assets Cash Accounts receivable Less: Allowance for uncollectible accounts Dividends receivable DUX COMPANY Comparative Balance Sheets December 31, 2024 and 2023 ($ in thousands) Inventory Long-term investment Land Buildings and equipment Less: Accumulated depreciation Liabilities Accounts payable Salaries payable Interest payable Income tax payable Notes payable Bonds payable Less: Discount on bonds Shareholders' Equity Common stock Paid-in capital-excess of par Retained earnings Less: Treasury stock 2024 $ 39.0 49.0 (3.0) 4.0 56.0 16.0 71.0 221.0 (26.0) $427.0 $ 14.0 3.0 5.0 8.0 31.0 96.0 (2.0) 210.0 24.0 46.0 (8.0) $ 427.0 2023 $ 21.0 51.0 (2.0) 3.0 51.0 11.0 40.0 251.0 (55.0) $ 371.0 $ 21.0 6.0 3.0 9.0 0 70.0 (3.0) 200.0 20.0 45.0 0 $ 371.0

The comparative balance sheets for 2024 and 2023 and the statement of income for 2024 are given below for Dux Company. Additional information from Dux's accounting records is provided also. Assets Cash Accounts receivable Less: Allowance for uncollectible accounts Dividends receivable DUX COMPANY Comparative Balance Sheets December 31, 2024 and 2023 ($ in thousands) Inventory Long-term investment Land Buildings and equipment Less: Accumulated depreciation Liabilities Accounts payable Salaries payable Interest payable Income tax payable Notes payable Bonds payable Less: Discount on bonds Shareholders' Equity Common stock Paid-in capital-excess of par Retained earnings Less: Treasury stock 2024 $ 39.0 49.0 (3.0) 4.0 56.0 16.0 71.0 221.0 (26.0) $427.0 $ 14.0 3.0 5.0 8.0 31.0 96.0 (2.0) 210.0 24.0 46.0 (8.0) $ 427.0 2023 $ 21.0 51.0 (2.0) 3.0 51.0 11.0 40.0 251.0 (55.0) $ 371.0 $ 21.0 6.0 3.0 9.0 0 70.0 (3.0) 200.0 20.0 45.0 0 $ 371.0

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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The comparative balance sheets for 2024 and 2023 and the statement of income for 2024 are given below for Dux Company. Additional information from Dux's accounting records is provided also. Assets Cash Accounts receivable Less: Allowance for uncollectible accounts Dividends receivable DUX COMPANY Comparative Balance Sheets December 31, 2024 and 2023 ($ in thousands) Inventory Long-term investment Land Buildings and equipment Less: Accumulated depreciation Liabilities Accounts payable Salaries payable Interest payable Income tax payable Notes payable Bonds payable Less: Discount on bonds Shareholders' Equity Common stock Paid-in capital-excess of par Retained earnings Less: Treasury stock 2024 $ 39.0 49.0 (3.0) 4.0 56.0 16.0 71.0 221.0 (26.0) $ 427.0 $ 14.0 3.0 5.0 8.0 31.0 96.0 (2.0) 210.0 24.0 46.0 (8.0) $427.0 2023 $ 21.0 51.0 (2.0) 3.0 51.0 11.0 40.0 251.0 (55.0) $ 371.0 $ 21.0 6.0 3.0 9.0 0 70.0 (3.0) 200.0 20.0 45.0 0 $ 371.0
Transcribed Image Text:The comparative balance sheets for 2024 and 2023 and the statement of income for 2024 are given below for Dux Company. Additional information from Dux's accounting records is provided also. Assets Cash Accounts receivable Less: Allowance for uncollectible accounts Dividends receivable DUX COMPANY Comparative Balance Sheets December 31, 2024 and 2023 ($ in thousands) Inventory Long-term investment Land Buildings and equipment Less: Accumulated depreciation Liabilities Accounts payable Salaries payable Interest payable Income tax payable Notes payable Bonds payable Less: Discount on bonds Shareholders' Equity Common stock Paid-in capital-excess of par Retained earnings Less: Treasury stock 2024 $ 39.0 49.0 (3.0) 4.0 56.0 16.0 71.0 221.0 (26.0) $ 427.0 $ 14.0 3.0 5.0 8.0 31.0 96.0 (2.0) 210.0 24.0 46.0 (8.0) $427.0 2023 $ 21.0 51.0 (2.0) 3.0 51.0 11.0 40.0 251.0 (55.0) $ 371.0 $ 21.0 6.0 3.0 9.0 0 70.0 (3.0) 200.0 20.0 45.0 0 $ 371.0
For the Year Ended December 31, 2024 ($ in thousands) Revenues DUX COMPANY Income Statement Sales revenue Dividend revenue Expenses Cost of goods sold Salaries expense Depreciation expense Bad debt expense Interest expense Loss on sale of building Income tax expense Net income $ 215.0 4.0 122.0 27.0 7.0 1.0 10.0 5.0 18.0 $ 219.0 190.0 $ 29.0 Additional information from the accounting records: a. A building that originally cost $48,000, and which was three-fourths depreciated, was sold for $7,000. b. The common stock of Byrd Corporation was purchased for $5,000 as a long-term investment. c. Property was acquired by issuing a 13%, seven-year, $31,000 note payable to the seller. d. New equipment was purchased for $18,000 cash. e. On January 1, 2024, bonds were sold at their $26,000 face value. f. On January 19, Dux issued a 5% stock dividend (1,000 shares). The market price of the $10 par value common stock was $14 per share at that time. g. Cash dividends of $14,000 were paid to shareholders. h. On November 12, 12,500 shares of common stock were repurchased as treasury stock at a cost of $8,000. Required: Prepare the statement of cash flows for Dux Company using the indirect method. Note: Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands (i.e., 10,000 should be entered as 10).
Transcribed Image Text:For the Year Ended December 31, 2024 ($ in thousands) Revenues DUX COMPANY Income Statement Sales revenue Dividend revenue Expenses Cost of goods sold Salaries expense Depreciation expense Bad debt expense Interest expense Loss on sale of building Income tax expense Net income $ 215.0 4.0 122.0 27.0 7.0 1.0 10.0 5.0 18.0 $ 219.0 190.0 $ 29.0 Additional information from the accounting records: a. A building that originally cost $48,000, and which was three-fourths depreciated, was sold for $7,000. b. The common stock of Byrd Corporation was purchased for $5,000 as a long-term investment. c. Property was acquired by issuing a 13%, seven-year, $31,000 note payable to the seller. d. New equipment was purchased for $18,000 cash. e. On January 1, 2024, bonds were sold at their $26,000 face value. f. On January 19, Dux issued a 5% stock dividend (1,000 shares). The market price of the $10 par value common stock was $14 per share at that time. g. Cash dividends of $14,000 were paid to shareholders. h. On November 12, 12,500 shares of common stock were repurchased as treasury stock at a cost of $8,000. Required: Prepare the statement of cash flows for Dux Company using the indirect method. Note: Amounts to be deducted should be indicated with a minus sign. Enter your answers in thousands (i.e., 10,000 should be entered as 10).
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