Willingham Corporation’s comparative balance sheets are presented below.
|
|
WILLINGHAM CORPORATION |
|
|
|
December 31 2011 |
December 31 2010 |
|
Cash |
$14,190 |
$10,830 |
|
Accounts receivable |
$21,040 |
$23,380 |
|
Land |
20,880 |
26,210 |
|
Building |
70,180 |
70,180 |
|
Accumulated depreciation |
(15,170) |
(10,340) |
|
Total |
111,120 |
120,260 |
|
Accounts payable |
$12,190 |
$31,170 |
|
Common stock |
75,000 |
68,870 |
|
Retained earnings |
23,930 |
20,220 |
|
Total |
$111,120 |
$120,260 |
|
Additional information: |
|
|
Net income was $22,890. Dividends declared and paid were $19,180.
All other changes in noncurrent account balances had a direct effect on cash flows, except the change in accumulated depreciation. The land was sold for $4,800.