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Statment of Cash Flows

I am unable to find a solution for the attached two problems. Please use attach excel and follow the instructions.
Instructions:
Prepare a statement of cash flows for Ernest Banks Co. for the year
ended 12-31-06, using the indirect method.
Net Cash provided by operating activities $28,0000
Investing activities provided $2,500.

The financial statements of Ernest Banks Company appear below.

ERNEST BANKS COMPANY
Comparative Balance Sheets
31-Dec
Assets 2006 2005
Cash $   23,000  $   13,000 
Accounts receivable 24,000  33,000 
Merchandise inventory 20,000  27,000 
Prepaid expenses 20,000  13,000 
Land 40,000  40,000 
Property, plant, and equipment 200,000  225,000 
Less: Accumulated depreciation -50,000 -67,500
Total $277,000  $283,500 

Liabilities and Stockholders' Equity
Accounts payable $   9,000  $   18,500 
Accrued expenses payable 9,500  7,500 
Interest payable 1,000  1,500 
Income taxes payable 3,000  2,000 
Bonds payable 50,000  80,000 
Common stock 123,000  105,000 
Retained earnings 81,500  69,000 
Total $277,000  $283,500 

ERNEST BANKS COMPANY
Income Statement
For the Year Ended December 31, 2006
Revenues
Sales $600,000
Gain on sale of plant assets 2,500 $602,500
Less: Expenses
Cost of goods sold 500,000
Operating expenses (excluding depreciation) 60,000
Depreciation expense 7,500
Interest expense 5,000
Income tax expense 9,000 581,500
Net income $   21,000

Additional information:
1.       Plant assets were sold at a sales price of $62,500.
2.       Additional equipment was purchased at a cost of $60,000.
3.       Dividends of $8,500 were paid.
4.       All sales and purchases were on account.
5.       Bonds were redeemed at face value.
6.       Additional shares of stock were issued for cash.

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Solution Summary

The solution explains how to prepare a statement of cash flows using the direct method and the indirect method for Ernest Banks Company

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