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Preparing Various Statements of Cash Flows

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Villa Company reported net income of $191,100 for 2011. Villa also reported depreciation expense of $43,700 and a loss of $5,660 on the sale of equipment. The comparative balance sheet shows a decrease in accounts receivable of $14,750 for the year, a $17,140 increase in accounts payable, and a $4,630 decrease in prepaid expenses.

Prepare the operating activities section of the statement of cash flows for 2011. Use the indirect method. (List amounts from largest positive to smallest positive followed by most negative to least negative, e.g. 15, 14, 10, -17, -5, -1. If amount decreases cash flow, use either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

VILLA COMPANY
Partial Statement of Cash Flows
For the Year Ended December 31, 2011

Scully Corporation's comparative balance sheets are presented below.

SCULLY CORPORATION
Comparative Balance Sheets
December 31
2011 2010
Cash $14,340 $10,500
Accounts receivable 21,346 23,442
Land 20,123 25,842
Building 68,588 68,588
Accumulated depreciation (15,088) (10,128)
Total $109,309 $118,244

Accounts payable $12,125 $31,097
Common stock 75,600 69,800
Retained earnings 21,584 17,347
Total $109,309 $118,244
Additional information:
1. Net income was $23,922. Dividends declared and paid were $19,685.
2. All other changes in noncurrent account balances had a direct effect on cash flows, except the change in accumulated depreciation. The land was sold for $5,000.

Complete the statement of cash flows for 2011 using the indirect method. (List amounts from largest positive to smallest positive followed by most negative to least negative, e.g. 15, 14, 10, -17, -5, -1. If amount decreases cash flow, use either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

SCULLY CORPORATION
Statement of Cash Flows
For the Year Ended December 31, 2011
Cash flows from operating activities
*********************************
Muldur Corporation's comparative balance sheets are presented below.

MULDUR CORPORATION
Comparative Balance Sheets
December 31
2011 2010
Cash $15,219 $17,713
Accounts receivable 25,246 22,259
Investments 19,955 16,001
Equipment 60,044 70,008
Accumulated depreciation (13,975) (10,080)
Total $106,489 $115,901

Accounts payable $14,571 $11,053
Bonds payable 10,061 29,962
Common stock 50,035 45,019
Retained earnings 31,822 29,867
Total $106,489 $115,901
Additional information:
1. Net income was $18,326. Dividends declared and paid were $16,371.
2. Equipment which cost $9,964 and had accumulated depreciation of $1,198 was sold for $3,329.
3. All other changes in noncurrent account balances had a direct effect on cash flows, except the change in accumulated depreciation.

Prepare a statement of cash flows for 2011 using the indirect method. (List amounts from largest positive to smallest positive followed by most negative to least negative, e.g. 15, 14, 10, -17, -5, -1. If amount decreases cash flow, use either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)
MULDUR CORPORATION
Statement of Cash Flows
For the Year Ended December 31, 2011
***********************************
The current sections of Bellinham Inc.'s balance sheets at December 31, 2010 and 2011, are presented here.
Bellinham's net income for 2011 was $156,710. Depreciation expense was $23,830.

2011 2010
Current assets
Cash $102,630 $98,020
Accounts receivable 110,860 88,930
Inventory 157,910 172,090
Prepaid expenses 26,030 22,780
Total current assets $397,430 $381,820

Current liabilities
Accrued expenses payable $14,090 $5,460
Accounts payable 84,810 92,710
Total current liabilities $98,900 $98,170

Prepare the net cash provided by operating activities section of the company's statement of cash flows for the year ended December 31, 2011, using the indirect method. (List amounts from largest positive to smallest positive followed by most negative to least negative, e.g. 15, 14, 10, -17, -5, -1. If amount decreases cash flow, use either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).)

BELLINGHAM INC.
Partial Statement of Cash Flows
For the Year Ended December 31, 2011.

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The solution assists in preparing various statements of cash flows.

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Villa Company

Cash flows from operating activities

Net income $191,100
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