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Use the Holden Corp. financial statements and supplementary information given below to prepare a statement of cash flows for the year ended December 31, 2023, using the indirect method. Additional Information: a. Purchased machinery for $43,000 cash. b. Sold the long-term investment on January 1, 2023 for $57,000. c. Sold machinery for $16,000 cash that had originally cost $36,000 and had $27,500 of accumulated depreciation. d. Issued $50,000 of bonds payable at face value. e. The short-term investment is a treasury bill that was purchased with maturity in 90 days. Holden Corp. Comparative Balance Sheet Information Assets Cash Short-term investments Accounts receivable Merchandise inventory. Long term investment Machinery Accumulated depreciation Total assets Liabilities and Equity Accounts payable Dividends payable_ Bonds payable Share capital Retained earnings Total liabilities and equity. Sales Cost Of Goods Sold Depreciation expense December 31 Other expenses Gain on sale of long-term investment Gain on sale of machinery Net income 2022 2023 406,000 155,000 52,000 38,000 148,300 88,000 117,400 239,000 0 37,000 177,000 170,000 (124,500) (115,000) 776,200 612,000 Holden Corp. Income Statement For Year Ended December 31, 2023 32,700 54,000 33,000 38,000 50,000 0 337,000 337,000 323,500 183,000 776,200 612,000 890,000 700,000 37,000 40,000 (777,000) 20,000 7,500 140,500 X+ (select one) Statement of Cash Flows (select one) Cash flows from operating activities Adjust. to reconcile net income to cash provided by oper. act.: Cash flows from investing activities Cash flows from financing activities Net increase (decrease) in cash Cash at beginning of year Cash at end of year...

Use the Holden Corp. financial statements and supplementary information given below to prepare a statement of cash flows for the year ended December 31, 2023, using the indirect method. Additional Information: a. Purchased machinery for $43,000 cash. b. Sold the long-term investment on January 1, 2023 for $57,000. c. Sold machinery for $16,000 cash that had originally cost $36,000 and had $27,500 of accumulated depreciation. d. Issued $50,000 of bonds payable at face value. e. The short-term investment is a treasury bill that was purchased with maturity in 90 days. Holden Corp. Comparative Balance Sheet Information Assets Cash Short-term investments Accounts receivable Merchandise inventory. Long term investment Machinery Accumulated depreciation Total assets Liabilities and Equity Accounts payable Dividends payable_ Bonds payable Share capital Retained earnings Total liabilities and equity. Sales Cost Of Goods Sold Depreciation expense December 31 Other expenses Gain on sale of long-term investment Gain on sale of machinery Net income 2022 2023 406,000 155,000 52,000 38,000 148,300 88,000 117,400 239,000 0 37,000 177,000 170,000 (124,500) (115,000) 776,200 612,000 Holden Corp. Income Statement For Year Ended December 31, 2023 32,700 54,000 33,000 38,000 50,000 0 337,000 337,000 323,500 183,000 776,200 612,000 890,000 700,000 37,000 40,000 (777,000) 20,000 7,500 140,500 X+ (select one) Statement of Cash Flows (select one) Cash flows from operating activities Adjust. to reconcile net income to cash provided by oper. act.: Cash flows from investing activities Cash flows from financing activities Net increase (decrease) in cash Cash at beginning of year Cash at end of year...

Financial Accounting: The Impact on Decision Makers
Financial Accounting: The Impact on Decision Makers
10th Edition
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Gary A. Porter, Curtis L. Norton
Chapter8: Operating Assets: Property, Plant, And Equipment, And Intangibles
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Use the Holden Corp. financial statements and supplementary information given below to prepare a statement of cash flows for the year ended December 31, 2023, using the indirect method. Additional Information: a. Purchased machinery for $43,000 cash. b. Sold the long-term investment on January 1, 2023 for $57,000. c. Sold machinery for $16,000 cash that had originally cost $36,000 and had $27,500 of accumulated depreciation. d. Issued $50,000 of bonds payable at face value. e. The short-term investment is a treasury bill that was purchased with maturity in 90 days. Holden Corp. Comparative Balance Sheet Information Assets Cash Short-term investments Accounts receivable Merchandise inventory Long term investment, Machinery Accumulated depreciation. Total assets Liabilities and Equity Accounts payable Dividends payable Bonds payable_ Share capital Retained earnings Total liabilities and equity. Sales Cost Of Goods Sold Depreciation expense, December 31 2023 2022 406,000 155,000 52,000 38,000 88,000 239,000 0 37,000 177,000 170,000 (124,500) (115,000) 776,200 612,000 Other expenses Gain on sale of long-term investment Gain on sale of machinery Net income 148,300 117,400 Holden Corp. Income Statement For Year Ended December 31, 2023 32,700 54,000 33,000 38,000 50,000 0 337,000 337,000 323,500 183,000 776,200 612,000 700,000 37,000 40,000 890,000 (777,000) 20,000 7,500 140,500 (select one) Statement of Cash Flows (select one) Cash flows from operating activities Adjust. to reconcile net income to cash provided by oper. act.: Cash flows from investing activities Cash flows from financing activities Net increase (decrease) in cash Cash at beginning of year Cash at end of year
Transcribed Image Text:Use the Holden Corp. financial statements and supplementary information given below to prepare a statement of cash flows for the year ended December 31, 2023, using the indirect method. Additional Information: a. Purchased machinery for $43,000 cash. b. Sold the long-term investment on January 1, 2023 for $57,000. c. Sold machinery for $16,000 cash that had originally cost $36,000 and had $27,500 of accumulated depreciation. d. Issued $50,000 of bonds payable at face value. e. The short-term investment is a treasury bill that was purchased with maturity in 90 days. Holden Corp. Comparative Balance Sheet Information Assets Cash Short-term investments Accounts receivable Merchandise inventory Long term investment, Machinery Accumulated depreciation. Total assets Liabilities and Equity Accounts payable Dividends payable Bonds payable_ Share capital Retained earnings Total liabilities and equity. Sales Cost Of Goods Sold Depreciation expense, December 31 2023 2022 406,000 155,000 52,000 38,000 88,000 239,000 0 37,000 177,000 170,000 (124,500) (115,000) 776,200 612,000 Other expenses Gain on sale of long-term investment Gain on sale of machinery Net income 148,300 117,400 Holden Corp. Income Statement For Year Ended December 31, 2023 32,700 54,000 33,000 38,000 50,000 0 337,000 337,000 323,500 183,000 776,200 612,000 700,000 37,000 40,000 890,000 (777,000) 20,000 7,500 140,500 (select one) Statement of Cash Flows (select one) Cash flows from operating activities Adjust. to reconcile net income to cash provided by oper. act.: Cash flows from investing activities Cash flows from financing activities Net increase (decrease) in cash Cash at beginning of year Cash at end of year
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