Question :
150. The following information available for the Ehrens Corporation:
EHRENS CORPORATION
Balance Sheets
At : 1256424
150. The following information is available for the Ehrens Corporation:
EHRENS CORPORATION
Balance Sheets
At December 31
2013
2012
Assets:
Cash
$ 24,640
$ 23,040
Accounts receivable
32,180
29,400
Merchandise inventory
73,125
61,710
Long-term investments
55,900
56,400
Equipment
175,500
145,500
Accumulated depreciation
(33,550)
(31,200)
Total assets
$327,795
$284,850
Liabilities:
Accounts payable
$ 65,000
$ 40,380
Incomes taxes payable
10,725
10,200
Bonds payable
48,750
66,000
Total liabilities
$124,475
$116,580
Equity:
Common stock
117,000
96,000
Contributed capital in excess of pay
13,000
9,000
Retained earnings
73,320
63,270
Total equity
$203,320
$168,270
Total liabilities and equity
$327,795
$284,850
EHRENS CORPORATION
Income Statement
For Year Ended December 31, 2013
Sales
$240,000
Cost of goods sold
$80,900
Depreciation expense
29,400
Other operating expenses
48,000
Interest expense
2,000
(160,300)
Other gains (losses):
Loss on sale of equipment
(8,400)
Income before taxes
71,300
Income taxes expense
27,650
Net income
$ 43,650
Additional information: (1) There was no gain or loss on the sales of the long-term investments, nor on the bonds retired.(2) Old equipment with an original cost of $37,550 was sold for $2,100 cash.(3) New equipment was purchased for $67,550 cash.
(4) Cash dividends of $33,600 were paid.(5) Additional shares of stock were issued for cash.Prepare a statement of cash flows for the 2013 calendar year using the indirect method.
151. Use the following company information to calculate its net cash provided or used by investing activities: (a) Equipment with a book value of $125,000 and an original cost of $220,000 was sold at a gain of $22,000.(b) Paid $49,000 cash for a new truck.(c) Sold land costing $30,000 for $26,000 cash, realizing a $4,000 loss.(d) Purchased treasury stock for $53,000 cash.(e) Long-term investments in stock are sold for $41,000 cash, realizing a gain of $3,500.
152. Use the following company information to prepare a schedule of significant noncash investing and financing activities: (a) Sold a building with a book value of $125,000 for $195,000 cash and land with a book value of $32,000 for $65,000 cash.(b) Issued 10,000 shares of $10 par value common stock in exchange for equipment with a market value of $135,000.(c) Retired a $100,000, 10% bond by issuing another $100,000, 12% bond issue.(d) Acquired land by issuing a 10-year, 9%, $44,000 note payable.
0
Sweetums
