On the basis of the following data for Teller Co. for 2006 and the preceding year ended December 31, 2005, prepare a statement of cash flows in excel. Use the indirect method of reporting cash flows from operating activities.
Additional Information
1) Assume that equipment costing $125,000 was purchased for cash and equipment costing $85,000 with accumulated depreciation of $65,000 was sold for $15,000;
2) The stock was issued for cash;
3) The only entries in the retained earnings account were net income of $51,000 and cash dividends declared of $13,000.
Balance Sheets
|
Year |
Year |
||
|
2006 |
2005 |
||
|
Cash |
$100,000 |
$ 78,000 |
|
|
Accounts receivable (net) |
78,000 |
85,000 |
|
|
Inventories |
101,500 |
90,000 |
|
|
Equipment |
410,000 |
370,000 |
|
|
Accumulated depreciation |
(150,000) |
(158,000) |
|
|
$539,500 |
$465,000 |
||
|
======== |
======== |
||
|
Accounts payable (merchandise creditors) |
$ 58,500 |
$ 55,000 |
|
|
Cash dividends payable |
5,000 |
4,000 |
|
|
Common stock, $10 par |
200,000 |
170,000 |
|
|
Paid-in capital in excess of par–common stock |
62,000 |
60,000 |
|
|
Retained earnings |
214,000 |
176,000 |
|
|
$539,500 |
$465,000 |
||
|
======== |
======== |
||
Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.
You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.
Read moreEach paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.
Read moreThanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.
Read moreYour email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.
Read moreBy sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.
Read more