Corporate Financial Accounting 14th Edition by Carl Warren,James Reeve,Jonathan Duchac

تمرين 14

Statement of cash flows-indirect method
The comparative balance sheet of Harris Industries Inc. at December 31, 20Y4 and 20Y3, is as follows:


An examination of the income statement and the accounting records revealed the following additional information applicable to 20Y4:
A. Net income, $524,580.
B. Depreciation expense reported on the income statement: buildings, $51,660; machinery and equipment, $22,680.
C. Patent amortization reported on the income statement, $5,040.
D. A building was constructed for $579,600.
E. A mortgage note for $224,000 was issued for cash.
F. 30,000 shares of common stock were issued at $13 in exchange for the bonds payable.
G. Cash dividends declared, $131,040.
Instructions
Prepare a statement of cash flows, using the indirect method of presenting cash flows from operating activities.