1. Reporting Stockholders' Equity Items on Statement of Cash Flows

   On the basis of the following stockholders' equity accounts, indicate the items, exclusive of net income, to be reported on the statement of cash flows. There were no unpaid dividends at either the beginning or the end of the year.

   ACCOUNT Common Stock, $5 par

   ACCOUNT NO.

   Balance

   Date

   Item

   Debit

   Credit

   Debit

   Credit

   Jan.

   1

   Balance, 55,000 shares

   275,000

   Apr.

   2

   13,750 shares issued for cash

   68,750

   343,750

   June

   30

   2,000-share stock dividend

   10,000

   353,750

   ACCOUNT Paid-In Capital in Excess of Par-Common Stock

   ACCOUNT NO.

   Balance

   Date

   Item

   Debit

   Credit

   Debit

   Credit

   Jan.

   1

   Balance

   165,000

   Apr.

   2

   13,750 shares issued for cash

   178,750

   343,750

   June

   30

   Stock dividend

   7,500

   351,250

   ACCOUNT Retained Earnings

   ACCOUNT NO.

   Balance

   Date

   Item

   Debit

   Credit

   Debit

   Credit

   Jan.

   1

   Balance

   228,000

   June

   30

   Stock dividend

   17,500

   210,500

   Dec.

   30

   Cash dividend

   26,200

   184,300

   Dec.

   31

   Net income

   164,200

   348,500

   If an amount is not reported on the statement of cash flows, enter in "0" in the Amount column.

   Item	Section of Statement of Cash Flows	Added or Deducted	Amount
   Sale of common stock			$
   Cash dividend			$
   Stock dividend			$

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