Question

put together a Spreadsheet for Statement of Cash Flows for the same problem 16B-45B. Format the spreadsheet as shown in Exhibit 16B-1.

P16B-45B Using a spreadsheet to prepare the statement of cash flows-indirect method The 2018 comparative balance sheet and income statement of Attleboro Group, Inc. follow. Attleboro disposed of a plant asset at book value in 2018. ATTLEBORO GROUP, INC. Income Statement Year Ended December 31, 2018 $441,000 205,400 235,600 $ 76,300 15,300 49,600 Net Sales Revenue Cost of Goods Sold Gross Profit Operating Expenses: Salaries Expense Depreciation Expense Other Operating Expenses Total Operating Expenses Operating Income Other Income and (Expenses): Interest Revenue Interest Expense Total Other Income and (Expenses) Net Income Before Income Taxes Income Tax Expense Net Income 141,200 94,400 11,500 (24,400) (12,900) 81,500 16,200 $ 65,300 ATTLEBORO GROUP, INC. Comparative Balance Sheet December 31, 2018 and 2017 2018 2017 $ 14,000 42,000 96,800 $ 15,500 43,700 93,300 Assets Current Assets: Cash Accounts Receivable Merchandise Inventory Long-term Assets: Land Plant Assets Accumulated Depreciation-Plant Assets Total Assets 36,400 121,250 (20,350) $ 290,100 11,000 112,850 (18,650) $ 257,700 Liabilities $ 24,500 23,900 $ 26,000 22,600 Current Liabilities: Accounts Payable Accrued Liabilities Long-term Liabilities: Notes Payable Total Liabilities 56,000 104,400 69,000 117,600 Stockholders' Equity Common Stock, no par Retained Earnings Total Stockholders' Equity Total Liabilities and Stockholders' Equity 129,500 56,200 185,700 $ 290,100 121,000 19,100 140,100 $257,700 Prepare the spreadsheet for the 2018 statement of cash flows. Format cash flows from operating activities by the indirect method. A plant asset was disposed of for $0. The cost and accumulated depreciation of the disposed asset was $13,600. There were no sales of land, no retirement of common stock, and no treasury stock transactions. Assume plant asset and land acquisitions were for cash. Cash Pmt. of Div. $28,200 | Cash Pmt. of N/P $13,000

Answer 1

Attleboro Group Inc. Statement of Cashflow For the period ending 31.12.2018 Cashflow from Operating Activity Plant Assets 112850 disposal Bal 13600 Cash Net Income 65300 22000 Adjustments: Depreciation Expense Bal 15300 121250 Decrease in Accounts Receivable 134850 1700 134850 Increase in Inventory -3500 Decrease in Accounts Payable Accum. Depre -1500 13600 Bal Increase in Accrued Liabilities 13300 18650 1300 Depreciation Expe Cash generated from Operating Activity 78600 15300 Bal 20350 Cashflow from Investing Activity 33950 33950 Land Purchased -25400 Purchase of Equipment -22000 Cash used for Investing Activity -47400 Cashflow from Financing Activity Notes payable paid -13000 Common Stock issued 8500 Dividends paid (19100 + 65300-56200) Cash used for Financing Activity -28200 -32700 Net Increase in Cash -1500 Beginning Cash Balance Ending Cash Balance 15500 14000