The comparative balance sheet of Merrick Equipment Co for December Y and Y is as follows:
Additional data obtained from an examination of the accounts in the ledger for are as follows:
a Equipment and land were acquired for cash.
b There were no disposals of equipment during the year.
c The investments were sold for $ cash.
d The common stock was issued for cash.
e There was a $ credit to Retained Earnings for net income.
f There was a $ debit to Retained Earnings for cash dividends declared.
Required:
Prepare a statement of cash flows, using the indirect method of presenting cash flows from used for operating
activities. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative
adjustments.
