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Smigel Corporation’s balance sheet and income statement appear below: |
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Smigel Corporation’s |
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Ending Balance |
Beginning |
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Assets |
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Cash and cash equivalents |
$ |
24 |
$ |
25 |
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Accounts receivable |
58 |
51 |
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Inventory |
61 |
62 |
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Property, plant and equipment |
452 |
430 |
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Less accumulated depreciation |
218 |
185 |
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Total assets |
$ |
377 |
$ |
383 |
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Liabilities and stockholders’ equity: |
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Accounts payable |
$ |
63 |
$ |
56 |
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Accrued liabilities |
27 |
23 |
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Income taxes payable |
39 |
35 |
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Bonds payable |
59 |
60 |
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Common stock |
53 |
50 |
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Retained earnings |
136 |
159 |
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Total liabilities and stockholders’ equity |
$ |
377 |
$ |
383 |
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Smigel Corporation’s |
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Sales |
$ |
317 |
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Cost of goods sold |
210 |
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Gross margin |
107 |
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Selling and administrative expense |
144 |
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Net operating income |
(37) |
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Gain on sale of equipment |
15 |
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Income before taxes |
(22) |
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Income taxes |
0 |
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Net income |
$ |
(22) |
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Cash dividends were $1. The company sold equipment for $15 that was originally purchased for $5 and that had accumulated depreciation of $5. |
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Required: |
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Determine the net cash provided by (used in) operating activities for the year using the indirect method |