The following information was taken from the financial records of the XYZ Company for 2022. End of Year Beginning of Year $391,000 $376,000 554,300 567,800 693,000 672,400 27,000 24,000 510,000 527,400 Wages Payable 39,500 36,000 The net income reported on the income statement for the current year was $165,000, which included a gain on sale of investments of $6,000 (The investments had a book value of $10,000). Depreciation expense recorded on store equipment for the year amounted to $19,000. Change in Non-Current Assets, Non-Current Liabilities, and Equity Accounts: Cash Accounts Receivable Merchandise Inventory Prepaid Insurance Accounts Payable (creditors)
The following information was taken from the financial records of the XYZ Company for 2022. End of Year Beginning of Year $391,000 $376,000 554,300 567,800 693,000 672,400 27,000 24,000 510,000 527,400 Wages Payable 39,500 36,000 The net income reported on the income statement for the current year was $165,000, which included a gain on sale of investments of $6,000 (The investments had a book value of $10,000). Depreciation expense recorded on store equipment for the year amounted to $19,000. Change in Non-Current Assets, Non-Current Liabilities, and Equity Accounts: Cash Accounts Receivable Merchandise Inventory Prepaid Insurance Accounts Payable (creditors)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![The following information was taken from the financial records of the XYZ Company for 2022.
End of Year
Beginning of Year
$391,000
$376,000
554,300
567,800
693,000
672,400
27,000
24,000
510,000
527,400
Wages Payable
39,500
36,000
The net income reported on the income statement for the current year was $165,000, which included a
gain on sale of investments of $6,000 (The investments had a book value of $10,000).
Depreciation expense recorded on store equipment for the year amounted to $19,000.
Change in Non-Current Assets, Non-Current Liabilities, and Equity Accounts:
Long-term investments
Property, plant and equipment
Bonds payable
Common stock
Cash
Accounts Receivable
Merchandise Inventory
Prepaid Insurance
Accounts Payable (creditors)
$30,000
60,000
50,000
20,000
Dividends
15,000
Required: Prepare a complete Statement of Cash Flows - Using the indirect method to prepare the
operating activities section
I](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F567e5c76-a71a-4e3b-b67f-acaa9766611e%2F71d814fd-ea1e-4ad1-8c7c-36cb0b49907f%2Faxpklgx_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The following information was taken from the financial records of the XYZ Company for 2022.
End of Year
Beginning of Year
$391,000
$376,000
554,300
567,800
693,000
672,400
27,000
24,000
510,000
527,400
Wages Payable
39,500
36,000
The net income reported on the income statement for the current year was $165,000, which included a
gain on sale of investments of $6,000 (The investments had a book value of $10,000).
Depreciation expense recorded on store equipment for the year amounted to $19,000.
Change in Non-Current Assets, Non-Current Liabilities, and Equity Accounts:
Long-term investments
Property, plant and equipment
Bonds payable
Common stock
Cash
Accounts Receivable
Merchandise Inventory
Prepaid Insurance
Accounts Payable (creditors)
$30,000
60,000
50,000
20,000
Dividends
15,000
Required: Prepare a complete Statement of Cash Flows - Using the indirect method to prepare the
operating activities section
I
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