Kimbeaux Posts: 2, Reputation: 1 New Member   #1 Feb 27, 2009, 09:35 AM

Preparing a complete statement for cash flows using indirect method NEED ASAP! Ellen Corporation Balance Sheets At December 31 2008 2007 Assets: Cash $24640 $23040 Accounts receivable 32180 29400 Merchandise inventory 73125 61710 Long-term investments 55900 56400 Equipment 175500 145500 Accumulated depreciation (33,550 ) (31,200 ) Total assets $327795 $284850 Liabilities: Accounts payable $65000 $40380 Income taxes payable 10725 10200 Bonds payable 48750 66000 Total liabilities $124475 $116580 Equity: Common stock 117000 96000 Contributed capital in excess of par 13000 9000 Retained earnings 73320 63270 Total equity $203320 $168270 Total liabilities and equity $327795 $284850 Ellen Corporation Income Statement For Year Ended December 31, 2008 Sales $240000 Cost of goods sold $80900 Depreciation expense 29400 Other operating expenses 48000 Interest expense 2000 (160,300 ) Other gains (losses): Loss on sale of equipment (8,400 ) Income before taxes 71300 Income taxes expense 27650 Net income $43650 Additional information: (1) There was no gain or loss on the sales of the long-term investments, nor on the bonds retired. (2) Old equipment with an original cost of $37,550 was sold for $2,100 cash. (3) New equipment was purchased for $67,550 cash. (4) Cash dividends of $33,600 were paid. (5) Additional shares of stock were issued for cash. Prepare a complete statement of cash flows for calendar-year 2008 using the indirect method. Please help! Thank you so much :D

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