Question 6 Comparative statements of financial position for Campbell Inc. appear below: CAMPBELL INC. Comparative Statements of Financial Position ––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––– Assets Dec....

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Accounting

Question 6
Comparative statements of financial position for Campbell Inc.appear below:
CAMPBELL INC.
Comparative Statements of Financial Position
–––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––
Assets
                                                                                              Dec. 31, 2016 Dec. 31, 2015
Cash                                                                                      $ 29,000        $15,000
Accountsreceivable                                                                28,000         19,000
Prepaidexpenses                                                                      9,000         12,000
Merchandiseinventory                                                            37,000         27,000
Long-terminvestments                                                            35,000         53,000
Equipment                                                                                75,000         48,000
Accumulateddepreciation—equipment                                 (26,000)       (22,000)
Totalassets                                                                           $187,000        $152,000
Liabilities and Shareholders' Equity
Accountspayable                                                                 $ 21,000         $9,000
Mortgagepayable                                                                    37,000         45,000
Commonshares                                                                      40,000         23,000
Retainedearnings                                                                    89,000        75,000
           Total liabilities and shareholders'equity                     $187,000        $152,000
Additional information regarding fiscal 2016:
1.         Profit forthe year was $27,000.
2.         Cash dividends of$13,000 were declared and paid during the year.
3.         Long-terminvestments with a carrying amount of $53,000 were sold for $48,000cash.
Instructions
Using the indirect method, prepare a statement of cash flows forthe year ended December 31, 2016.

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Question 6Comparative statements of financial position for Campbell Inc.appear below:CAMPBELL INC.Comparative Statements of Financial Position–––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––––Assets Dec. 31, 2016 Dec. 31, 2015Cash $ 29,000 $15,000Accountsreceivable 28,000 19,000Prepaidexpenses 9,000 12,000Merchandiseinventory 37,000 27,000Long-terminvestments 35,000 53,000Equipment 75,000 48,000Accumulateddepreciation—equipment (26,000) (22,000)Totalassets $187,000 $152,000Liabilities and Shareholders' EquityAccountspayable $ 21,000 $9,000Mortgagepayable 37,000 45,000Commonshares 40,000 23,000Retainedearnings 89,000 75,000 Total liabilities and shareholders'equity $187,000 $152,000Additional information regarding fiscal 2016:1. Profit forthe year was $27,000.2. Cash dividends of$13,000 were declared and paid during the year.3. Long-terminvestments with a carrying amount of $53,000 were sold for $48,000cash.InstructionsUsing the indirect method, prepare a statement of cash flows forthe year ended December 31, 2016.