Textbook Problem

(Appendix 21.1) Visual Inspection The following changes in account balances were taken from Walson Company’s adjusted trial balance at the end of 2019:

In addition, the following information was obtained from the company’s records:

• Land was sold, at cost, for $1,900.
• Dividends of $4,000 were declared and paid.
• Equipment was purchased for $10,400.
• Common stock was issued for $9,000.
• Beginning cash balance was $17,000.

Required:

Using visual inspection and the direct method, prepare Walson’s 2019 statement of cash flows. (A separate schedule reconciling net income to cash provided by operating activities is not necessary.)