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Statement of Cash Flows-Indirect Method The comparative balance sheet of Merrick Equipment Co. for December 31, 20Y9 and 20Y8, is as follows: Dec. 31, 20Y9 Dec. 31, 20Y8 Assets Cash $265,310 $249,640

Statement of Cash Flows-Indirect Method
The comparative balance sheet of Merrick Equipment Co. for December 31, 20Y9 and 20Y8, is as follows:
Dec. 31, 20Y9 Dec. 31, 20Y8
Assets
Cash
$265,310
$249,640
Accounts receivable (net)
96,110
89,660
265,460
Inventories
271,310
Investments
102,850
Land
139,160
0
299,350
Equipment
234,700
Accumulated depreciation-equipment
(70,080)
(63,290)
$1,001,160
$879,020
Total assets
Liabilities and Stockholders' Equity
Accounts payable
$181,210
$173,170
Accrued expenses payable
18,020
22,850
Dividends payable
10,010
7,910
Common stock, $10 par
54,060
43,070
Paid-in capital: Excess of issue price over par-common stock
203,240
119,550
Retained earnings
534,620
512,470
Total liabilities and stockholders' equity
$1,001,160
$879,020
Additional data obtained from an examination of the accounts in the ledger for 20Y9 are as follows:
a. Equipment and land were acquired for cash
b. There were no disposals of equipment during the year.
c. The investments were sold for $92,570 cash
d. The common stock was issued for cash.
e. There was a $63,460 credit to Retained Earnings for net income.
f. There was a $41,310 debit to Retained Earnings for cash dividends declared.
Merrick Equipment Co.
Statement of Cash Flows
For the Year Ended December 31, 20Y9
Cash flows from operating activities:
Adjustments to reconcile net income to net cash flow from operating activities:
Changes in current operating assets and liabilities:
Net cash flow from operating activities
Cash flows from (used for) investing activities:
Net cash flow used for investing activities
Cash flows from (used for) financing activities:
Net cash flow from financing activities
Cash at the beginning of the year
Cash at the end of the year
$

Sep 19 2020 View more View Less

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