The Fisheries Processing Corporation prepared the following income statement and comparative balance sheet for 2021: Additional data:
1. Equipment was purchased for $ 400,000.
2. Land was sold for cash proceeds of $ 200,000.
3. The company sold bonds of $ 500,000 and made $ 380,000 of principal payments on notes payable.
Instructions
Prepare a cash flow statement for 2021, using the indirect method.

Question

The Fisheries Processing Corporation prepared the following income statement and comparative balance sheet for 2021:  Additional data:
1. Equipment was purchased for $ 400,000.
2. Land was sold for cash proceeds of $ 200,000.
3. The company sold bonds of $ 500,000 and made $ 380,000 of principal payments on notes payable.
Instructions
Prepare a cash flow statement for 2021, using the indirect method.

Quizplus · Accepted Answer

The Answer of The Fisheries Processing Corporation prepared the following income statement and comparative balance sheet for 2021:  Additional data:
1. Equipment was purchased for $ 400,000.
2. Land was sold for cash proceeds of $ 200,000.
3. The company sold bonds of $ 500,000 and made $ 380,000 of principal payments on notes payable.
Instructions
Prepare a cash flow statement for 2021, using the indirect method.

The Fisheries Processing Corporation Prepared the Following Income Statement and Comparative