You will complete Problem 164B from the file above You will

You will complete Problem 16-4B from the file above. You will prepare a Statement of Cash Flows in good form and professional in appearance using Excel. Formulas and cell referencing are required.

Two Excel Files, one with the professional Statement of Cash Flows in good form, the second file will be the same Statement of Cash Flows with \"show formulas\" turned on.

Proble 16-48 Indirect: Statement of cash flows P1 P2 P3 Satu Company, a merchandiser, recently completed its 2013 operations. For the year, (1) all sales are credit sales, (2) all credits to Accounts Receivable reflect cash receipts from customers, (3) all purchases of inventory are on credit, (4) all debits to Accounts Payable reflect cash payments for inventory., (5) Other Expenses are cash expenses, and (6) any change in lncome Taxes Payable reflects the accrual and cash payment of taxes. The company\'s balance sheets and income statement follow. SATU COMPANY Comparative Balance Sheets December 31,2013 and 2012 2013 2012 Assets $58,750 $ 28,400 25,860 165,667. 140,320 77,500 (46,700)31,000) ...$305,689$241,080 Cash 20,222 SATU COMPANY Incoie Statement For Year Ended December 312013 107,750 pment...- $750,800 269,200 481,600 Total assets Liabllitles and Equity Accounts payable Income taxes payablei. Cost of goods sold .. . $ 20.372 $157.530 6,100 25,000 Operating expenses 2,100 40,000 189,633 291,967 89,200 $202,767 Pald-In capital In excess 68,000 175,217 20,000 32,450 .. Income before taxes .. Income taxes expense.... of par, common stock Retained earnings . ...-. Additional Information on Year 2013 Transactions a. Purchased equipment for $30,250 cash b. Issued 3,000 shares of common stock for $21 cash per share. c. Declared and paid $60,000 of cash dividends

Solution

Statement of Cash flows Cash flows from operating activities: Net income for the year 202767 Adjustment required Depreciation 15700 Decrease in accounts receivable 5638 Increase in inventory -25347 Decrease in Accounts payable -137158 Decrease in Income tax payable -4000 Net c ash provided from Operating activities 57600 Ccash flows from Investing activities Purchase of equipment -30250 Net cash used in investing activities -30250 Cash flows from Financing activities: Issue of common stock 63000 Dividend paid -60000 Net cash provided from financing activities 3000 Net increase in cash 30350 Add: Beginning balance of cash 28400 Ending balance of cash 58750