The comparative balance sheet of Livers Inc. for December 31, 20Y3 and 20Y2, is as follows: 1 Dec. 31, 20Y3 Dec. 31, 20Y2 2 Assets 3 Cash $625,650.00 $586,340.00 4 Accounts receivable (net) 228,170.00 208,030.00 5 Inventories 641,480.00 617,130.00 6 Investments 0.00 240,290.00 7 Land 328,170.00 0.00 8 Equipment 706,070.00 552,300.00 9 Accumulated depreciation-equipment (165,580.00) (147,010.00) 10 Total assets $2,363,960.00 $2,057,080.00 11 Liabilities and Stockholdersâ Equity 12 Accounts payable (merchandise creditors) $424,300.00 $404,860.00 13 Accrued expenses payable (operating expenses) 41,850.00 52,880.00 14 Dividends payable 23,200.00 19,880.00 15 Common stock, $2 par 150,000.00 100,000.00 16 Paid-in capital: Excess of issue price over parâcommon stock 417,500.00 280,000.00 17 Retained earnings 1,307,110.00 1,199,460.00 18 Total liabilities and stockholdersâ equity $2,363,960.00 $2,057,080.00 The income statement for the year ended December 31, 20Y3, is as follows: 1 Sales $5,378,129.00 2 Cost of goods sold â3,306,510.00 3 Gross profit $2,071,619.00 4 Operating expenses: 5 Depreciation expense $18,570.00 6 Other operating expenses 1,755,879.00 7 Total operating expenses 1,774,449.00 8 Operating income $297,170.00 9 Other income: 10 Gain on sale of investments 40,390.00 11 Income before income tax $337,560.00 12 Income tax expense 133,650.00 13 Net income $203,910.00 Additional data obtained from an examination of the accounts in the ledger for 20Y3 are as follows: a. The investments were sold for $280,680 cash. b. Equipment and land were acquired for cash. c. There were no disposals of equipment during the year. d. The common stock was issued for cash. e. There was a $96,260 debit to Retained Earnings for cash dividends declared.
Prepare a statement of cash flows, using the direct method of presenting cash flows from operating activities. Be sure to complete the heading of the statement. Refer to the Labels and Amount Descriptions list provided for the exact wording of the answer choices for text entries. Enter amounts that represent cash outflows as negative numbers using a minus sign.
The comparative balance sheet of Livers Inc. for December 31, 20Y3 and 20Y2, is as follows: 1 Dec. 31, 20Y3 Dec. 31, 20Y2 2 Assets 3 Cash $625,650.00 $586,340.00 4 Accounts receivable (net) 228,170.00 208,030.00 5 Inventories 641,480.00 617,130.00 6 Investments 0.00 240,290.00 7 Land 328,170.00 0.00 8 Equipment 706,070.00 552,300.00 9 Accumulated depreciation-equipment (165,580.00) (147,010.00) 10 Total assets $2,363,960.00 $2,057,080.00 11 Liabilities and Stockholdersâ Equity 12 Accounts payable (merchandise creditors) $424,300.00 $404,860.00 13 Accrued expenses payable (operating expenses) 41,850.00 52,880.00 14 Dividends payable 23,200.00 19,880.00 15 Common stock, $2 par 150,000.00 100,000.00 16 Paid-in capital: Excess of issue price over parâcommon stock 417,500.00 280,000.00 17 Retained earnings 1,307,110.00 1,199,460.00 18 Total liabilities and stockholdersâ equity $2,363,960.00 $2,057,080.00 The income statement for the year ended December 31, 20Y3, is as follows: 1 Sales $5,378,129.00 2 Cost of goods sold â3,306,510.00 3 Gross profit $2,071,619.00 4 Operating expenses: 5 Depreciation expense $18,570.00 6 Other operating expenses 1,755,879.00 7 Total operating expenses 1,774,449.00 8 Operating income $297,170.00 9 Other income: 10 Gain on sale of investments 40,390.00 11 Income before income tax $337,560.00 12 Income tax expense 133,650.00 13 Net income $203,910.00 Additional data obtained from an examination of the accounts in the ledger for 20Y3 are as follows: a. The investments were sold for $280,680 cash. b. Equipment and land were acquired for cash. c. There were no disposals of equipment during the year. d. The common stock was issued for cash. e. There was a $96,260 debit to Retained Earnings for cash dividends declared.
Prepare a statement of cash flows, using the direct method of presenting cash flows from operating activities. Be sure to complete the heading of the statement. Refer to the Labels and Amount Descriptions list provided for the exact wording of the answer choices for text entries. Enter amounts that represent cash outflows as negative numbers using a minus sign.
