hown below are comparative balance sheets for Blue Spruce Company. Blue Spruce Company Comparative Balance Sheets...

hown below are comparative balance sheets for Blue Spruce Company.

Blue Spruce Company Comparative Balance Sheets December 31
Assets	2022		2021
Cash	$ 88,400		$ 28,600
Accounts receivable	114,400		98,800
Inventory	217,100		245,700
Land	104,000		130,000
Equipment	338,000		260,000
Accumulated depreciation—equipment	(85,800	)	(41,600	)
Total	$776,100		$721,500
Liabilities and Stockholders’ Equity
Accounts payable	$ 50,700		$ 55,900
Bonds payable	195,000		260,000
Common stock ($1 par)	280,800		226,200
Retained earnings	249,600		179,400
Total	$776,100		$721,500

Additional information:

1.		Net income for 2022 was $120,900.
2.		Depreciation expense was $44,200.
3.		Cash dividends of $50,700 were declared and paid.
4.		Bonds payable amounting to $65,000 were redeemed for cash $65,000.
5.		Common stock was issued for $54,600 cash.
6.		No equipment was sold during 2022.
7.		Land was sold for its book value.

Prepare a statement of cash flows for 2022 using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -45,000, or in parenthesis e.g. (45,000)).

Expert Solution

Statement of Cash Flows
For the Year Ended December 31, 2022
Cash Flows from Operating Activities:
Net income		120900
Adjustments to reconcile net income to
Net cash provided by operating activities
Depreciation expense	44200
Increase in Accounts receivable	-15600
Decrease in inventory	28600
Decrease in accounts payable	-5200
		52000
Net cash provided by operating activities		172900
Cash Flows from Investing Activities:
Purchase of Equipment	-78000
Sale of Land	26000
Net Cash used by Investing Activities		-52000
Cash Flows from Financing Activities
Payment of Cash Dividends	-50700
Redemption of Bonds Payable	-65000
Issuance of Common Stock	54600
Net Cash Used by Financing Activities		-61100
Net Increase in Cash		59800
Cash at Beginning of Period		28600
Cash at End of Period		88400

ekkarill92 answered 1 year ago

Shown below are comparative balance sheets for Carla Vista Company. Carla Vista Company Comparative Balance Sheets...

Shown below are comparative balance sheets for Carla Vista Company. Carla Vista Company Comparative Balance Sheets December 31 Assets 2022 2021 Cash $ 170,000 $ 55,000 Accounts receivable 220,000 190,000 Inventory 417,500 472,500 Land 200,000 250,000 Equipment 650,000 500,000 Accumulated depreciation—equipment (165,000 ) (80,000 ) Total $1,492,500 $1,387,500 Liabilities and Stockholders’ Equity Accounts payable $ 97,500 $ 107,500 Bonds payable 375,000 500,000 Common stock ($1 par) 540,000 435,000 Retained earnings 480,000 345,000 Total $1,492,500 $1,387,500 Additional information: 1. Net income...

Shown below are comparative balance sheets for Schmitt Company. SCHMITT COMPANY Comparative Balance Sheets December 31...

Shown below are comparative balance sheets for Schmitt Company. SCHMITT COMPANY Comparative Balance Sheets December 31 Assets 2014 2013 Cash $ 72,080 $ 23,320 Accounts receivable 93,280 80,560 Inventory 177,020 200,340 Land 84,800 106,000 Equipment 275,600 212,000 Accumulated depreciation—equipment (69,960 ) (33,920 ) Total $632,820 $588,300 Liabilities and Stockholders’ Equity Accounts payable $ 41,340 $ 45,580 Bonds payable 159,000 212,000 Common stock ($1 par) 228,960 184,440 Retained earnings 203,520 146,280 Total $632,820 $588,300 Additional information: 1. Net income for 2014...

The comparative balance sheets for Beckwith Products Company are presented below. Beckwith Products Comparative Balance Sheets...

The comparative balance sheets for Beckwith Products Company are presented below. Beckwith Products Comparative Balance Sheets For the Years Ended December 31, 2018 and 2019 1 2019 2018 2 Assets: 3 Cash $36,950.00 $25,000.00 4 Accounts receivable 75,100.00 78,000.00 5 Inventory 45,300.00 36,000.00 6 Property, plant, and equipment 256,400.00 153,000.00 7 Accumulated depreciation 38,650.00 20,000.00 8 Total assets $375,100.00 $272,000.00 9 Liabilities and equity: 10 Accounts payable $13,100.00 $11,000.00 11 Interest payable 11,500.00 8,000.00 12 Wages payable 8,100.00 9,000.00 13...

Comparative balance sheets for International Company are presented below.

Comparative balance sheets for International Company are presented below. Additional information: 1. Net income for 2017 was $135,000. 2. Cash dividends of $70,000 were declared and paid. 3. Bonds payable amounting to $50,000 were redeemed for cash $50,000. 4. Common stock was issued for $50,000 cash. 5. Depreciation expense was $24,000. 6. Sales revenue for the year was $978,000. 7. Land was sold at cost, and equipment was purchased for cash. Instructions Prepare a worksheet for a statement...

A comparative statement of financial position for Blue Spruce Industries Inc. follows: BLUE SPRUCE INDUSTRIES INC....

A comparative statement of financial position for Blue Spruce Industries Inc. follows: BLUE SPRUCE INDUSTRIES INC. Statement of Financial Position December 31, 2020 December 31 Assets 2020 2019 Cash $22,800 $35,800 Accounts receivable 122,000 55,600 Inventory 234,000 191,000 Land 77,000 125,000 Equipment 269,000 216,000 Accumulated depreciation—equipment (70,300 ) (43,500 ) Total $654,500 $579,900 Liabilities and Shareholders’ Equity Accounts payable $52,400 $59,500 Bonds payable 163,800 213,800 Common shares 233,000 183,000 Retained earnings 205,300 123,600 Total $654,500 $579,900 Additional information:...

Sunland Company’s comparative balance sheets are presented below. Sunland Company Comparative Balance Sheets December 31 2019...

Sunland Company’s comparative balance sheets are presented below. Sunland Company Comparative Balance Sheets December 31 2019 2018 Cash $ 15,000 $ 10,200 Accounts receivable 21,400 23,800 Land 19,800 26,400 Buildings 70,100 70,100 Accumulated depreciation—buildings (15,300 ) (10,800 ) Total $111,000 $119,700 Accounts payable $ 12,800 $ 27,800 Common stock 74,600 73,400 Retained earnings 23,600 18,500 Total $111,000 $119,700 Additional information: 1. Net income was $22,800. Dividends declared and paid were $17,700. 2. No noncash investing and financing activities occurred during...

Pharoah Company’s comparative balance sheets are presented below: Pharoah Company Comparative Balance Sheets December 31 2020...

Pharoah Company’s comparative balance sheets are presented below: Pharoah Company Comparative Balance Sheets December 31 2020 2019 Cash $ 17,000 $ 17,500 Accounts receivable 25,000 22,400 Investments 19,850 16,050 Equipment 60,050 69,750 Accumulated depreciation—equipment (13,750 ) (10,400 ) Total $108,150 $115,300 Accounts payable $ 14,750 $ 11,250 Bonds payable 10,400 30,000 Common stock 49,500 45,200 Retained earnings 33,500 28,850 Total $108,150 $115,300 Additional information: 1.Net income was $18,450. Dividends declared and paid were $13,800. 2.Equipment which cost $9,700 and had...

The comparative balance sheets for Sage Hill Company appear below: SAGE HILL COMPANY Comparative Balance Sheet...

The comparative balance sheets for Sage Hill Company appear below: SAGE HILL COMPANY Comparative Balance Sheet Assets Dec. 31, 2022 Dec. 31, 2021 Cash $31,100 $15,000 Accounts receivable 20,000 13,500 Inventory 34,900 19,100 Prepaid insurance 8,500 9,000 Stock investments -0- 18,000 Equipment 71,000 35,500 Accumulated depreciation-equipment (15,800 ) (12,300 ) Total assets $149,700 $97,800 Liabilities and Stockholder's Equity Accounts payable $28,600 $7,900 Bonds payable 39,100 48,800 Common stock 43,400 22,000 Retained earnings 38,600 19,100 Total liabilities and stockholder's equity $149,700...

The comparative balance sheets for Rothlisberger Company as of December 31 are presented below.

The comparative balance sheets for Rothlisberger Company as of December 31 are presented below. Additional information: 1. Operating expenses include depreciation expense of $42,000 and charges from prepaid expenses of $5,720. 2. Land was sold for cash at book value. 3. Cash dividends of $20,000 were paid. 4. Net income for 2017 was $42,000. 5. Equipment was purchased for $88,000 cash. In addition, equipment costing $22,000 with a book value of $10,000 was sold for $6,000 cash. 6. Bonds...

Shown below are comparative balance sheets for Pearl Industries. Pearl Industries Comparative Balance Sheets December 31...

Shown below are comparative balance sheets for Pearl Industries. Pearl Industries Comparative Balance Sheets December 31 Assets 2022 2021 Cash $ 190,400 $ 61,600 Accounts receivable 246,400 212,800 Inventory 467,600 529,200 Land 224,000 280,000 Equipment 728,000 560,000 Accumulated depreciation—equipment (184,800 ) (89,600 ) Total $1,671,600 $1,554,000 Liabilities and Stockholders’ Equity Accounts payable $ 109,200 $ 120,400 Bonds payable 420,000 560,000 Common stock ($1 par) 604,800 487,200 Retained earnings 537,600 386,400 Total $1,671,600 $1,554,000 Additional information: 1. Net income for 2022...

Question