Condensed financial data of Cheng Inc. follow.
Cheng Inc.
Comparative Balance Sheets
December 31
Comparative Balance Sheets
December 31
Cheng Inc.
Income Statement
For the Year Ended December 31, 2019
Income Statement
For the Year Ended December 31, 2019
Additional information:
- New equipment costing $85,000 was purchased for cash during the year.
- Old equipment having an original cost of $57,500 was sold for $1,500 cash.
- Bonds matured and were paid off at face value for cash.
- A cash dividend of $40,350 was declared and paid during the year.
Instructions
Prepare a statement of cash flows using the indirect method.
Solution
Cheng Inc.
Statement of Cash Flows (indirect method)
For the Year Ended December 31, 2019
Statement of Cash Flows (indirect method)
For the Year Ended December 31, 2019
