In: Accounting
The balance sheets for Kinder Company showed the following information. Additional information concerning transactions and events during 2020 are presented below.
Kinder Company
Balance Sheet
December 31
2020 2019
Cash $ 30,900 $ 10,200
Accounts receivable (net) 43,300 20,300
Inventory 35,000 42,000
Long-term investments 0 15,000
Property, plant & equipment 236,500 150,000
Accumulated depreciation (37,700) (25,000)
$308,000 $212,500
Accounts payable $ 17,000 $ 26,500
Accrued liabilities 21,000 17,000
Long-term notes payable 70,000 50,000
Common stock 130,000 90,000
Retained earnings 70,000 29,000
$308,000 $212,500
Additional data:
1. Net income for the year 2020, $61,000.
2. Gain on sale of investment, $18,000, included in net income.
3. Paid a $40,000 long-term note payable by issuing common stock.
Prepare a Statement of Cash Flows for Kinder using the indirect method using Be sure to include required supplemental disclosures.