Required prepare the statement of cash flows of megatroboliz

Problem 21-5 Statement of cash Bows direct method [LO21-3, 11-8 Comparative balance sheets for 2018 and 2017 and a st temet ofinor, for 2018 zeprm below ??r Mtgoklield thes Additional infornution from the accounting records of Metauobolize also is providesd Comparative Balance Sheets December 31, 2018 and 2017 ($ in 000s) Casth Accounts receivable $ 400 170 430 580 550 230 370 Land 900 210) 2,390 (380) Less: Accumulated depreciation (250) 2,700 (409) Patent $ 6,301 5,515 Liabilities Accounts payable Accrued expenses payable Lease liability-Ind Shareholders\' Equity Common stock Paid-in capital excess of par Ratained earnings S 680$ 480 115 190 130 3,160 500 3,000 I 1,641 1,430 S 6,301 5,515 Income Statement For the Year Ended December 31, 2018 (S in 000s) Revenues Sales revemue Gain ? sale ofland $2,608 50 $2,6s Cost of goods sold Depreciation expensa-equipment Less on sale of equipment Amortization of patert Operating expenses $ 880 40 272 10 100 550 1852 S 806 Net income Adaitional tnformation from the accounting record a Annual payments of $20,000 on the finance lease liability are paid each January 1, beginning in 2018 During 201S, equipment with a cost of S270.000 (90% deprecated) was sold. c. The statement of shareholders\' equity reveals reductions of $170,000 and $425,000 for stock divideands and cash dividends, respectively Required

Solution

Cash Flow Statement :-

Cash Flow from Operating Activities :-	$ in 000s	$ in 000s
Cash Inflows -
From Customber (2608+230-430)	2408
Cash Outflows -
Less : Suppliers of Goods (880+370-580+680-480)	(870)
Less : Operating Expenses (550+190-115)	(625)
Net Cash Flow from operating activities	913	913
Cash Flow from Investing Activities :-
Purchase of Land (5 + 20)	(25)
Sale of Equipment (27 - 10)	17
Sale of Patent	100
Purchase of Equipment	(310)
Net Cash Flow from investing Activities	(218)	(218)
Cash Flow from Financing Activities :-
Dividend Paid	(425)
Shares Purchase	(170)
Lease Liability	130
Net Cash Flow from Financing Activities	(465)	(465)
Net Cash		230
Add : Beginning Balance of Cash		170
Ending Balance of Cash		400