Current Year

Cash $ 70,550
Accounts receivable $ 19,150
Merchandise inventory $ 25,750
Property and equipment $ 213,450
less:accumulated depriciation $ (62,700)
$ 266,200

Accounts payable $ 13,100

Wages payable $ 7,200
Note payable , long term $ 63,300
Contributed capital $ 103,900
Retained earnings $ 78,700
$ 266,200

Sales $ 211,000
Cost of goods sold $ 108,000
Depriciation expense $ 14,950
Other expenses $ 44,600
Net income $ 43,450

Cash flow statement

Cash flow from operating activities:
Net income
Adjustmens to reconcile net income to net cash provided by operating
activities:
Depriciation expense $ 14,950
Decrease in accounts receivable $ 6,600
Increase in merchandise inventory $ (5,450)
Decrease in accounts payable $ (10,100)
Decrease in wages payable $ 3,300

Net cash provided by operating activities

Cash flow from investing activities

Cash payments to purchase fixed assets $ (60,850)
Net cash used in investing activities

Cash flows from financing activities

Cash payments on long term note $ (12,700)
cash payments fot dividends $ (10,950)
cash receipts from issuing stock $ 36,400
Net cash provided by financing activities
Net increase in cash during the year
cash balance jan 1
cash balance dec31
Debit Credit Prior year
$ 4,650 $ 65,900
$ 6,600 $ 25,750
$ 5,450 $ 20,300
$ 60,850 $ 152,600
$ 14,950 $ (47,750)
$ 216,800

$ 10,100 $ 23,200
$ (3,300) $ 3,900
$ 12,700 $ 76,000
$ 36,400 $ 67,500
$ 32,500 $ 46,200
$ 216,800

$ 43,450

$ 9,300
$ 52,750

$ (60,850)

$ 12,750
$ 4,650
$ 65,900
$ 70,550