Chapter 16, Problem E16.21E

Preparing the statement of cash flows—indirect method
Learning Objective 2
Net Cash Prov. by Op Act $98 000
The income statement of Boost Plus, Inc. follows:

BOOST PLUS. INC. Income Statement Year Ended September 30, 2018
Net Sales Revenue		S 231,000
Cost of Goods Sold		94,000
Gross Profit		137,000
Operating Expenses:
Salaries Expense	$ 54,000
Depreciation Expense—Plant Assets	27,000
Total Operating Expenses		81,000
Net Income Before Income Taxes		56,000
Income Tax Expense		3,000
Net Income		$ 53,000

Additional data follow:

1. Acquisition of plant assets is $124,000. Of this amount, $108,000 is paid in cash and $16,000 by signing a note payable
2. Cash receipt from sale of land totals $20,000. There was no gain or loss.
3. Cash receipts from issuance of common stock total $36,000.
4. Payment of notes payable is $15,000.
5. Payment of dividends is $5,000. f From the balance sheet:

	September 30
	2018	2017
Cash	$ 39,000	$ 13,000
Accounts Receivable	46,000	61,000
Merchandise Inventory	94,000	88,000
Land	82,000	102,000
Plant Assets	214,000	90,000
Accumulated Depreciation	(61,000)	(34,000)
Accounts Payable	32,000	15,000
Accrued Liabilities	12,000	20,000
Notes Payable (long-term)	16,000	15,000
Common Stock, no par	40,000	4,000
Retained Earnings	314,000	266,000

Prepare Boost Plus's statement of cash flows for the year ended September 30, 2018, using the indirect method Include a separate section for non-cash investing and financing activities