The loss on the cash sale of equipment was $20,125 (details in b). Sold equipment costing 591,875, with accumulated depreciation of $45,125, for $26, 625 cash. Purchased equipment costing $111,375 by paying $60,000 cash and signing a long- term notes payable for the balance. Paid $52,125 cash to reduce the long-term notes payable. Issued 4,000 shares of common stock for $20 cash per share. Declared and paid cash dividends of $53, 100. Required: 1. Prepare a complete statement of cash flows using the indirect method for the current year.
The loss on the cash sale of equipment was $20,125 (details in b). Sold equipment costing 591,875, with accumulated depreciation of $45,125, for $26, 625 cash. Purchased equipment costing $111,375 by paying $60,000 cash and signing a long- term notes payable for the balance. Paid $52,125 cash to reduce the long-term notes payable. Issued 4,000 shares of common stock for $20 cash per share. Declared and paid cash dividends of $53, 100. Required: 1. Prepare a complete statement of cash flows using the indirect method for the current year.
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter14: Statement Of Cash Flows
Section: Chapter Questions
Problem 52P: Balance sheets for Brierwold Corporation follow: Additional transactions were as follows: a....
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![The loss on the cash sale of equipment was $20,125 (details in b). Sold equipment costing 591,875, with accumulated depreciation of $45,125, for $26, 625 cash. Purchased equipment costing $111,375 by paying $60,000 cash and signing a long-
term notes payable for the balance. Paid $52,125 cash to reduce the long-term notes payable. Issued 4,000 shares of common stock for $20 cash per share. Declared and paid cash dividends of $53, 100. Required: 1. Prepare a complete statement of
cash flows using the indirect method for the current year.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3dacf46e-53c0-4ad5-a3cc-6a8c07d42875%2Fa1bd06ec-1086-4a14-a84e-d2f5f855980b%2Fba8xdj_processed.jpeg&w=3840&q=75)
Transcribed Image Text:The loss on the cash sale of equipment was $20,125 (details in b). Sold equipment costing 591,875, with accumulated depreciation of $45,125, for $26, 625 cash. Purchased equipment costing $111,375 by paying $60,000 cash and signing a long-
term notes payable for the balance. Paid $52,125 cash to reduce the long-term notes payable. Issued 4,000 shares of common stock for $20 cash per share. Declared and paid cash dividends of $53, 100. Required: 1. Prepare a complete statement of
cash flows using the indirect method for the current year.
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