Question - The Springsteen Company had Net Income on an accrual basis of $100,000 for the year-end December 31, 2014.
The following changes in the company's account balances occurred from 1/1/14 to 12/31/14:
Accts. Rec. ($10,000)
Inventory $15,000
Prepaid Expenses ($5,000)
Property Plant and Equipment $20,000
Accumulated Depreciation $10,000
Accounts Payable ($5,000)
Accrued Expenses ($7,000)
Income Tax Payable ($5,000)
Bonds Payable $30,000
Common Stock $20,000
Retained Earnings $75,000
The company did not sell or dispose of any PPE during the year or repurchase any common stock. The company did declare and pay a dividend. The company's cash balance at 1/1/14 was $50,000.
Prepare in good form a Statement of Cash Flow using the Indirect Method as of 12/31/14.