Condensed financial data of Ulrich Company are shown below.
|
ULRICH COMPANY |
||
|
Assets |
2010 |
2009 |
|
Cash |
$ 82,700 |
$ 33,400 |
|
Accounts receivable |
75,800 |
37,000 |
|
Inventories |
121,900 |
102,650 |
|
Investments |
89,500 |
107,000 |
|
Plant assets |
320,000 |
205,000 |
|
Accumulated depreciation |
(49,500) |
(40,000) |
|
Total |
$640,400 |
$445,050 |
|
Liabilities and Stockholders’ Equity |
$ 52,700 |
$ 48,280 |
|
Accounts payable |
15,100 |
18,830 |
|
Accrued expenses payable |
140,000 |
70,000 |
|
Bonds payable |
250,000 |
200,000 |
|
Common stock |
182,600 |
107,940 |
|
Retained earnings |
$640,400 |
$445,050 |
|
Total |
||
|
ULRICH COMPANY |
||
|
Sales |
$297,500 |
|
|
Gain on sale of plant assets |
5,000 |
|
|
302,500 |
||
|
Less: |
||
|
Cost of goods sold |
$99,460 |
|
|
Operating expenses, excluding |
14,670 |
|
|
Depreciation expense |
35,500 |
|
|
Income taxes |
27,270 |
|
|
Interest expense |
2,940 |
179,840 |
|
Net income |
$122,660 |
|
Additional information:
1. New plant assets costing $151,000 were purchased for cash during the year.
2. Investments were sold at cost.
3. Plant assets costing $36,000 were sold for $15,000, resulting in a gain of $5,000.
4. A cash dividend of $48,000 was declared and paid during the year.
Instructions
Prepare a statement of cash flows using the indirect method.