The following information is available for the Perez Company: Comparative Balance...
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Accounting
The following information is available for the Perez Company:
Comparative Balance Sheets
2017
2018
Cash
$800
$1,200
Accounts receivable
440
400
Inventory
740
1,220
Land
500
820
Equipment
4,140
4,400
Less:Accumulated depreciation
(620)
(800)
Total Assets
$6,000
$7,240
Accounts payable
$1,600
$1,000
Notes payable (long-term)
1,800
1,440
Common stock, no par
1,200
2,000
Retained earnings
1,400
2,800
Total Liabilities and Stockholders' Equity
$6,000
$7,240
Partial additional information:The net income for 2018 totaled $3,200. During 2018, the company sold for $780, equipment that cost $780 and had a book value of $600. The company sold land for $400, resulting in a loss of $80. The remaining change in the Land account resulted from the purchase of land through the issuance of common stock.
Required
Making whatever additional assumptions that are necessary, prepare a statement of cash flows for the company for 2018 using the indirect method.
Answer & Explanation
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