Prepare a proper statement of cash flows for jhutti company

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Reference no: EM131083076

Jhutti Company
Comparative Balance Sheets
December 31

Assets

2014

2013

Cash

$90,300

$47,250

Accounts receivable

80,900

57,000

Inventory

121,900

102,650

Investments

84,000

87,000

Equipment

250,000

205,000

Accumulated depreciation-equipment

-46,600

-40,000


$580,500

$458,900

Liabilities and Stockholders' Equity

 


Accounts payable

$53,400

$48,280

Accrued expenses payable

12,100

18,830

Bonds payable

100,000

70,000

Common stock

240,000

200,000

Retained earnings

175,000

121,790


$580,500

$458,900

Jhutti. Company
Income Statement
For the Year Ended December 31, 2014

Sales revenue

$297,500


Gain on disposal of plant assets

8,550

$306,050

Less:



Cost of goods sold

99,460


Operating expenses (excluding depreciation expense)

14,670


Depreciation expense

47,900


Income tax expense

7,270


Interest expense

2,940

172,240

Net income


$133,810

Additional Information

Equipment costing $92,000 was purchased for cash during the year. Investments were sold at cost.
Equipment costing $47,000 was sold for $14,250, resulting in gain of $8,550.
A cash dividend of $80,600 was declared and paid during the year.
Additional Information Continued... Bonds of $30,000 were issued.
$40,000 of Common Stock was issued

Instructions: Please prepare a proper Statement of Cash Flows for Jhutti Company using the Indirect Method in either Word or Excel. Handwritten copies will not be accepted!

Reference no: EM131083076

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