Use the data below to answer the question given below: B-Z Bike Service Company’s comparative balance sheets for year-end X2 (current year) and X1 and the income statement for year X2 are presented below, along with additional information. Balance Sheets 12/31/X2 12/31/X1 Change Cash $ 3,310 $3,200 $110 Accounts receivable 1,000 600 400 Prepaid rent 110 200 (90) Equipment 500 0 500 Accumulated depreciation (300) 0 (300) $ 4,620 $4,000 Wages payable $ 1,020 $ 700 $320 Common stock 1,100 900 200 Retained earnings 2,500 2,400 100 $4,620 $4,000 Income Statement Year X2 Service revenue $35,600 Depreciation expense -300 Salaries expense -30,000 Rent and other expenses -5,000 Net income $ 300 Additional information: 1) At the beginning of the year the company purchased $500 of equipment by paying $500 in cash. 2) The company declared and paid dividends of $200 in December X2. 3) The company issued common stock in January X2 for $200 cash. Show below the cash flow statement for B-Z Bike Service Company for the year X2. Use the indirect method for the cash flow from operations section.
Use the data below to answer the question given below:
B-Z Bike Service Company’s comparative
Balance Sheets 12/31/X2 12/31/X1 Change
Cash $ 3,310 $3,200 $110
Prepaid rent 110 200 (90)
Equipment 500 0 500
$ 4,620 $4,000
Wages payable $ 1,020 $ 700 $320
Common stock 1,100 900 200
$4,620 $4,000
Income Statement Year X2
Service revenue $35,600
Depreciation expense -300
Salaries expense -30,000
Rent and other expenses -5,000
Net income $ 300
Additional information:
1) At the beginning of the year the company purchased $500 of equipment by paying $500 in cash.
2) The company declared and paid dividends of $200 in December X2.
3) The company issued common stock in January X2 for $200 cash.
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