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Statement of cash flows—indirect method The comparative balance sheet of Coulson, Inc. it December 31, 20Y2 and 20Y1, is as follows: Dec. 31, 20Y2 Dec. 31, 20Y1 Assets Cash $ 300,600 $ 337,800 Accounts receivable (net) 704,400 609,600 Inventories 918,600 865,800 Prepaid expenses 18,600 26,400 Land 990,000 1,386,000 Buildings $1,980,000 $ 990,000 Accumulated depreciation—buildings (397,200) (366,000) Equipment 660,600 529,800 Accumulated depreciation—equipment (133,200) (162,000) Total assets $5,042,400 $4,217,400 Liabilities and Stockholders' Equity Accounts payable $ 594,000 $ 631,200 Income taxes payable 26,400 21,600 Bonds payable 330,000 0 Common stock, $20 par 320,000 180,000 Paid in capital: Excess of issue price over par—common stock 950,000 810,000 Retained earnings 2,822,000 2,574,600 Total liabilities and stockholders' equity $5,042,400 $4,217,400 The noncurrent asset, noncurrent liability, and stockholders’ equity accounts for 20Y2 are as follows: Instructions Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities.

BuyFind

Accounting

27th Edition
WARREN + 5 others
Publisher: Cengage Learning,
ISBN: 9781337272094
BuyFind

Accounting

27th Edition
WARREN + 5 others
Publisher: Cengage Learning,
ISBN: 9781337272094

Solutions

Chapter
Section
Chapter 16, Problem 16.3BPR
Textbook Problem

Statement of cash flows—indirect method

The comparative balance sheet of Coulson, Inc. it December 31, 20Y2 and 20Y1, is as follows:

Dec. 31, 20Y2 Dec. 31, 20Y1
Assets
Cash $ 300,600 $ 337,800
Accounts receivable (net) 704,400 609,600
Inventories 918,600 865,800
Prepaid expenses 18,600 26,400
Land 990,000 1,386,000
Buildings $1,980,000 $ 990,000
Accumulated depreciation—buildings (397,200) (366,000)
Equipment 660,600 529,800
Accumulated depreciation—equipment (133,200) (162,000)
Total assets $5,042,400 $4,217,400
Liabilities and Stockholders' Equity    
Accounts payable $ 594,000 $ 631,200
Income taxes payable 26,400 21,600
Bonds payable 330,000 0
Common stock, $20 par 320,000 180,000
Paid in capital: Excess of issue price over par—common stock 950,000 810,000
Retained earnings 2,822,000 2,574,600
Total liabilities and stockholders' equity $5,042,400 $4,217,400

The noncurrent asset, noncurrent liability, and stockholders’ equity accounts for 20Y2 are as follows:

Chapter 16, Problem 16.3BPR, Statement of cash flowsindirect method The comparative balance sheet of Coulson, Inc. it December , example  1

Chapter 16, Problem 16.3BPR, Statement of cash flowsindirect method The comparative balance sheet of Coulson, Inc. it December , example  2

Chapter 16, Problem 16.3BPR, Statement of cash flowsindirect method The comparative balance sheet of Coulson, Inc. it December , example  3

Instructions

Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities.

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Chapter 16 Solutions

Accounting
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