The comparative balance sheet of Green Earth Lawn and Garden Inc. for December 31, 2008 and 2009, is…


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29.99

The comparative balance sheet of Green Earth Lawn and Garden Inc. for December 31, 2008 and 2009, is… 1 answer below » The comparative balance sheet of Green Earth Lawn and Garden Inc. for December 31, 2008 and 2009, is as follows: View complete question » Dec. 31, 2009 Dec. 31, 2008 Assets Cash $ 137,900 $142,300 Accounts receivable (net) 206,800 190,500 Inventories 290,500 284,100 Investments 0 90,000 Land 200,000 0 Equipment 255,000 205,000 Accumulated depreciation (100,300) (76,700) $ 989,900 $835,200 Liabilities and Stockholders’ The comparative balance sheet of Green Earth Lawn and Garden Inc. for December 31, 2008 and 2009, is as follows: Dec. 31, 2009 Dec. 31, 2008 Assets Cash $ 137,900 $142,300 Accounts receivable (net) 206,800 190,500 Inventories 290,500 284,100 Investments 0 90,000 Land 200,000 0 Equipment 255,000 205,000 Accumulated depreciation (100,300) (76,700) $ 989,900 $835,200 Liabilities and Stockholders’ Equity Accounts payable (merchandise creditors) $ 224,900 $201,400 Accrued expenses (operating expenses) 14,100 16,500 Dividends payable 21,000 19,000 Common stock, $1 par 10,000 8,000 Paid-in capital in excess of par—common stock 200,000 100,000 Retained earnings 519,900 490,300 $ 989,900 $835,200 The income statement for the year ended December 31, 2009, is as follows: Sales $940,000 Cost of merchandise sold 489,300 Gross profit $450,700 Operating expenses: Depreciation expense $ 23,600 Other operating expenses 278,900 Total operating expenses 302,500 Operating income $148,200 Other income: Gain on sale of investments 32,000 Income before income tax $180,200 Income tax expense 62,300 Net income $117,900 The following additional information was taken from the records: a. Equipment and land were acquired for cash. b. There were no disposals of equipment during the year. c. The investments were sold for $122,000 cash. d. The common stock was issued for cash. e. There was a $88,300 debit to Retained Earnings for cash dividends declared. Instructions Prepare a statement of cash flows, using the direct method of presenting cash flows from operating activities. View less » Jul 18 2014 01:00 PM

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29.99