Question

Required information Problem 13-7 Prepare a statement of Cash Flows (LO13-1, LO13-2) The following information applies to the questions displayed below) Comparative financial statements for Weaver Company follow. Weaver Company Comparative Balance Sheet at December 31 This Year Assets Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Long-term investments Total assets Liabilities and Stockholders' Equity Accounts payable $302 Accrued liabilities Income taxes payable Total current liabilities Bonds payable Total liabilities Common stock Retained earnings Total stockholders' equity Total liabilities and stockholders' equity e se eshte e :: Weaver Company Income Statement For This Year Ended December 31 Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income Nonoperating items: Gain on sale of investments $ 6 Loss on sale of equipment (2) Income before taxes Income taxes Net Income During this year, Weaver sold some equipment for $18 that had cost $30 and on which there was accumulated depreciation of $10. In addition, the company sold long-term investments for $12 that had cost $6 when purchased several years ago. Weaver paid a cash dividend this year and the company repurchased $35 of its own stock. This year Weaver did not retire any bonds

Answer 1

	Weaver Company
	Cash Flow Statement
		For the Year Ending	Last Year	This Year
		Cash at Beginning of Year	$              11.00	$              18.00
	Operations
	Cash paid for
		Inventory purchases	$             195.00	$             155.00
		General operating and administrative expenses	$                5.00	$             229.00
		Income taxes	$              64.00	$              95.00
	Net Cash Flow from Operations		$         264.00	$         479.00
[42]	Investing Activities
	Cash receipts from
		Sale of property and equipment		$                4.00
	Cash paid for
		Purchase of property and equipment	$             358.00	$             422.00
		Other Long term investments	$              33.00	$              27.00
	Net Cash Flow from Investing Activities		$         391.00	$         453.00
	Financing Activities
	Cash receipts from
		Issuance of stock	$             200.00	$             165.00
	Cash paid for
		Bonds Payable	$             172.00	$             197.00
	Net Cash Flow from Financing Activities		$         372.00	$         362.00
	Net Increase in Cash		$      1,027.00	$      1,294.00
		Cash at End of Year	$          1,038.00	$          1,312.00