70.2K

Verified Solution

Link Copied!

Using the following information prepare a cash flow statement.

Hamilton Beach Company
Comparative Balance Sheets
December 31, 2015 and 2014
Assets	2014	2015	Difference
Cash	15,000	47,000	32,000
Accounts Receivable	55,000	47,000	(8,000)
Inventory	110,000	144,000	34,000
Prepaid Expenses	5,000	1,000	(4,000)
Long Term Investments	127,000	115,000	(12,000)
Land	55,000	55,000	-
Building & Equipment	450,000	660,000	210,000
Accumulated Depr-Building & Equipt	(68,000)	(103,000)	(35,000)
Total Assets	749,000	966,000	217,000
Liabilities & Stockholder's Equity
Accounts Payable	43,000	50,000	7,000
Income Tax Payable	5,000	3,000	(2,000)
Accrued Liabilities	9,000	12,000	3,000
Bonds Payable	245,000	295,000	50,000
Common Stock $5 par value	200,000	276,000	76,000
Additional paid in capital	115,000	214,000	99,000
Retained Earnings	132,000	141,000	9,000
Treasury Stock	-	(25,000)	(25,000)
Total Liabilities & Stockholders Equity	749,000	966,000	217,000
Additional Information:
1. Net Income $16,000
2. Building & Equipment Depreciation $37,000
3. Sold Investments for $102,000 on which there was a gain of $12,000
4. Sold for $5,000 equipment that cost $10,000 and had accumulated depreciation of $2,000
5. Issued 15,200 shares of $5 par value common stock for $175,000
6. Issued $100,000 of long term bonds in a noncash transaction for buildings
7. Repaid a bond in the amount of $50,000
8. Equipment and building purchased for $120,000
9. Paid dividends of $7,000
10. Purchased investments $78,000
11. Purchased treasury stock in the amount of $25,000

Answer & Explanation Solved by verified expert

See Answer