Question. Prepare a statement of cash flows indirect method The financial statements of Pouchie Co. included the following information for the year ended December 31, 2013 (amounts in millions):
Depreciation and amortization expense . . . . . . . . . . . . . . . . . . . $ 260
Cash dividends declared and paid . . . . . . . . . . . . . . . . . . . . . . . 330
Purchase of equipment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 820
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 384
Beginning cash balance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 120
Proceeds of common stock issued . . . . . . . . . . . . . . . . . . . . . . 148
Proceeds from sale of building (at book value) . . . . . . . . . . . . . . 212
Accounts receivable increase . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
Ending cash balance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 40
Inventory decrease . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 38
Accounts payable increase . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44
Required:
Complete the following statement of cash flows, using the indirect method:
POUCHIE CO.
Statement of Cash Flows
For the Year Ended December 31, 2013
Cash Flows from Operating Activities:
Net income . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 384
Add (deduct) items not affecting cash:
____________________________________. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
____________________________________. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
____________________________________. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
____________________________________. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . __________
Net cash provided (used) by operating activities. . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ __________
Cash Flows from Investing Activities:
____________________________________. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
____________________________________. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . __________
Net cash provided (used) by investing activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ __________
Cash Flows from Financing Activities:
____________________________________. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
____________________________________. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . __________
Net cash provided (used) by financing activities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ __________
Net increase (decrease) in cash for the year. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ __________
Cash balance, January 1, 2013 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 120
Cash balance, December 31, 2013 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 40