Question

entury Corporation has the following activities for the past year: (Click the icon to view the data.) Prepare the statement of cash flows for Century Corporation for the year. Century Corporation uses the Indirect method for operating activities. Statement of Cash Flows (Indirect Method) For the Year Ended December 31 Operating Activities: Adjustments to reconcile net income to cash basis Data Table Net cash provided by used for operating activities Investing Activities: Net income Payment of dividends $ 4,000 Proceeds from issuance of stock... $ 76,000 Purchase of treasury stock. $ 11,000 Sales revenue $ 120 000 Payment of long term nota payable $ 17,000 Decrease in current $ 11,000 Cost of goods sold ...... ... $ 63,000 Other operating expenses .......$ 12,000 Depreciation expense............$ 22,000 Purchase of equipment with cash $ 23,000 Proceeds from sale of land........$ 21,000 increase in current assets $ 7,000 Net cash provided by used for investing activities Financing Activities: Print Done Net cash provided by used for financing activities Net increase (decrease in cash Choose from any list or enter any number in the input fields and then continue to the next question

Answer 1

Operating Activities:-
Net Income		$33000
Adjustments to reconcile net income to cash basis
Depreciation Expense	$22000
Decrease in Current liabilities	($11000)
Increase in current asset other than cash	($7000)	$4000
Net cash provided by (used for) operating activities		$37000
Investing Activities:-
Purchase of Equipment with cash	($23000)
Proceeds from sale of land	$21000
Net cash provided by (used for) investing activities		($2000)
Financing Activities:-
Payment of Dividend	($4000)
Proceeds from issuance of stock	$76000
Purchase of Treasury stock	($11000)
Payment of Long term note payable	($17000)
Net cash provided by (used for) financing activities		$44000
Net Increase (Decrease) in Cash		$79000

Explanations :-

Net Income = Sales Revenue – Cost of Goods sold – Other operating Exp – Depreciation

              = $120000 - $53000 - $12000 - $22000 = $33000