Problem 1
Use the information in the following table to successfully fulfill requirement one listed below:
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Acquisition of Equipment = $275,000
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Acquisition of Apartment building =S300,000
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Dividends paid=10,000
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Issuance of bonds payable =170,000
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Decrease in Salaries Payable=51000
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Amortization of discount on bonds payable =53000
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Decrease in Accounts Payable=15,000
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Proceeds from the Sale of Land=100,000
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Decrease In Inventories=$8,000
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Depreciation Expense=25,000
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Decrease in Accounts Receivables=5,000
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Monies paid to retire bonds=120,000
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Decrease in Deferred income taxes=$7000
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Loss on sale of land=20,000
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Net Income=250,000
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Cash at the end of year=700,000
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Requirements:
Prepare the statement of cash flows using the above information and assuming the company name is Supier Company and the year ended December 31, 2012.
Problem 2
The statement of cash flows only represents the actual cash flows from operating, investing and financing activities. There are specific non-cash transactions that are left out from the body of the statement.
Requirements:
Briefly describe the type of items that are not included in the body of the statement of cash flows, describe the actual transactions and tell where the transaction will then be disclosed.