Q1) The 20X8 comparative balance sheet and income statement of Genie Marketing, Inc., follows, Genie had no noncash investing and financing transactions in 20X8. In the year, there were no sales of land or equipment, no issuances of notes payable, no retirements of stock, and no treasury stock transactions.
Create 20X8 statement of cash flows, formatting operating activities by indirect method.
| Comparative Balance Sheet |
| |
20X8 |
20X7 |
Increase (Decrease) |
| Current assets: |
|
|
|
| Cash and cash equivalents |
$8,700 |
$15,600 |
($6,900) |
| Accounts receivanle |
46,500 |
43,100 |
3,400 |
| Interest receivable |
600 |
900 |
(300) |
| Inventories |
94,300 |
89,900 |
4,400 |
| Prepaid expenses |
1,700 |
2,200 |
(500) |
| Plant assets: |
|
|
|
| Land |
35,100 |
10,000 |
25,100 |
| Equipment, net |
100,900 |
93,700 |
7,200 |
| Totla assets |
$287,800 |
$225,400 |
$32,400 |
| Current liabilities: |
|
|
|
| Accounts payable |
$16,400 |
$17,900 |
($1,500) |
| Interest payable |
6,300 |
6,700 |
(400) |
| Salary payable |
2,100 |
1,400 |
700 |
| Other accured liabilities |
18,100 |
18,700 |
(600) |
| Income tax payable |
6,300 |
3,800 |
2,500 |
| Long-term liabilities: |
|
|
|
| Notes payable |
55,000 |
65,000 |
(10,000) |
| Stockholder\'s equity: |
|
|
|
| Common stock, no=par |
131,100 |
122,300 |
8,800 |
| Retained earnings |
52,500 |
19,600 |
32,900 |
| Total liabilities and stockholder\'s equity |
$287,800 |
$255,400 |
$32,400 |