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Dec. 31, 20Y2 Dec. 31, 20Y1 Assets ...

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Accounting

Dec. 31, 20Y2 Dec. 31, 20Y1
Assets
Cash $183 $14
Accounts receivable (net) 55 49
Inventories 117 99
Land 250 330
Equipment 205 175
Accumulated depreciationequipment (68) (42)
Total assets $742 $625
Liabilities and Stockholders' Equity
Accounts payable (merchandise creditors) $51 $37
Dividends payable 5 -
Common stock, $1 par 125 80
Paid-in capital: Excess of issue price over parcommon stock 85 70
Retained earnings 476 438
Total liabilities and stockholders' equity $742 $625

The following additional information is taken from the records:

Land was sold for $120.

Equipment was acquired for cash.

There were no disposals of equipment during the year.

The common stock was issued for cash.

There was a $62 credit to Retained Earnings for net income.

There was a $24 debit to Retained Earnings for cash dividends declared.

a. Prepare a statement of cash flows, using the indirect method of presenting Cash flows from operating activities. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments.

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