Fill This Form To Receive Instant Help
Fill This Form To Receive Instant Help
Homework answers / question archive / Acct 2208 corp
Acct 2208 corp. prepared the following comparable Balance sheet for years ending 2020 and 2019:
ACCT 2208 Corp.
Balance Sheet at Dec 31, 2020
Assets
2020
2019
Cash
($12,775)
$23,750
Accounts Receivables
65,250
58,500
Inventories
38,000
32,000
Long term investments (FV-NI)
21,250
38,500
Equipment
22,500
11,250
Accumulated Depreciation- equipment
-5,500
-1,500
Building
52,500
41,250
Accumulated Depreciation- building
-6,875
-3,250
Land
34,000
32,500
Total Assets
$208,350
$233,000
Liabilities & Shareholder's Equities
Accounts Payable
24,750
30,000
Accrued Payables
2,375
1,125
Income tax payable
1,500
1,000
Long term note payable
6,000
15,000
Common Shares, issued & outstanding
165,000
140,000
Retained Earnings
8,725
45,875
Total liabilities & Shareholder's Equities
$208,350
$233,000
ACCT 2208 Corp.
Statement of income for the period ended Dec 31, 2020
Sales Revenue
$ 590,250
Cost of Goods sold
(380,000)
Gross Profit
210,250
Operating expense (includes depreciation)
(179,400)
Income from operating
30,850
Other income and other losses
200
Income Tax expense
(40,000)
Net loss
($8,950)
Additional Information:
1- During 2020, ACCT 2208 declare and paid cash dividend
2- During 2020, equipment had cost of $3,750 and accumulated amortization of $750 were sold during the year for $ 2,200 cash
3- During 2020, Investments at FV-NI that cost $27,750 and had a fair value at Dec 31, 2019, of $24,750 were sold during the year for $25,750
Instructions:
Prepare the Statement of cash flows for the year ended Dec 31, 2020 using indirect method.
