Visual Inspection The following changes in account balances and other information for 2007 were taken from the accounting records of the Gordon Company:
|
Net Changes for 2007 |
|
|
Debit |
Credit |
|
Cash |
$1,000 |
|
Accounts receivable |
$1,100 |
|
Inventory |
2,000 |
|
Buildings and equipment |
8,800 |
|
Accumulated depreciation |
2,900 |
|
Accounts payable |
900 |
|
Common stock, no par |
5,500 |
|
Retained earnings |
3,200 |
|
$12,700 |
$12,700 |
Other information: Net income totaled $5,800. Dividends were declared and paid. Equipment was purchased for $8,800. No buildings and equipment were sold during the year. One hundred shares of common stock were sold for $55 per share. The ending cash balance was $4,200.
Required
Using visual inspection, prepare a 2007 statement of cash flows for the Gordon Company.