Question

Selected financial statement information and additional data for Johnston Enterprises is presented below:

Johnston Enterprises Balance Sheet and Income Statement Data
		December 31, 2017			December 31, 2016
Current Assets:
Cash		$170,300			$116,400
Accounts Receivable		226,300			306,200
Inventory		396,700			342,700
Total Current Assets		793,300			765,300
Property, Plant, and Equipment		1,283,200			1,148,000
Less: Accumulated Depreciation		(460,400)			(429,100)
Total Assets		1,616,100			1,484,200
Current Liabilities:
Accounts Payable		$189,000			$100,700
Notes Payable		48,100			66,300
Income Taxes Payable		85,900			76,100
Total Current Liabilities		323,000			243,100
Bonds Payable		350,000			389,300
Total Liabilities		673,000			632,400
Stockholders' Equity:
Common Stock		510,000			467,500
Retained Earnings		433,100			384,300
Total Stockholders' Equity		943,100			851,800
Total Liabilities & Stockholders' Equity		1,616,100			1,484,200
Sales Revenue		$1,629,600			$1,524,000
Less Cost of Goods Sold		761,300			714,300
Gross Profit		868,300			809,700
Expenses:
Depreciation Expense		150,900			133,900
Salaries and Wages Expense		383,300			353,300
Interest Expense		37,800			37,800
Loss on Sale of Equipment		12,800			0
Income Before Taxes		283,500			284,700
Less Income Tax Expense		113,400			113,880
Net Income		170,100			170,820

Additional Information:
During the year, Johnston sold equipment with an original cost of $134,200 and accumulated depreciation of $119,600 and purchased new equipment for $269,400.

Prepare a statement of cash flows for the year ending December 31, 2017. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

Answer 1