Barton Publication Company, Inc., has the following comparative balance sheet as of March 31, 2010.
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Barton Publication Company, Inc.
Balance Sheet
As of March 31, 2010 and 2009
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2010
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2009
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Increase (Decrease)
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Current assets :
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Cash
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$ 55,600
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$14.700
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$40,900
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Accounts receivable
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51,400
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53,300
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(1,900)
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Inventories
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65,400
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59,700
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5,700
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Prepaid expenses
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3,700
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5,100
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(1,400)
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Long-term investment
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10,000
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6,800
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3,200
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Equipment, net
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71,700
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70,200
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1,500
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Land
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35,500
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97,000
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(61,500)
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Total assets
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293,300
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$306,800
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(61,500)
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Current liabilities
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Note payable, short-term
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$43,200
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$48,900
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$(5,700)
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Account payable
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4,300
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3,500
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800
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Income tax payable
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13,700
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15,500
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(1,800)
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Salary payable
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9,200
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12,400
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(3,200)
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Interest payable
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8,200
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7,400
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800
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Accrued liabilities
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2,900
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3,400
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(500)
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Long-term note payable
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48,900
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93,100
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(44,200)
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Common stock
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69,600
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61,700
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7,900
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Retained earnings
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93,300
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60,900
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32,400
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Total liabilities and equity
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$293,300
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$306,800
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$(13,500)
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Selected transaction data for the year ended March 31, 2010, include the following :
- Net income, $77,000
- Paid long-term note payable with cash, $59,600
- Cash payments to employees, $43,000
- Loss on sale of land, $9,600
- Acquired equipment by issuing long-term note payable, $15,400
- Cash payments to suppliers, $147,100
- Cash paid for interest, $4,100
- Depreciation expense on equipment, $13,900
- Paid short-term note payable by issuing common stock, $5,700
- Paid cash dividends, $44,600
- Received cash for issuance of common stock, $2,200
- Cash received form customer, $299,400
- Cash paid for income taxes, $12,000
- Sold land for cash, $51,900
- Interest received (in cash), $1,000
- Purchased long-term investment for cash, $3,200
Requirements
- Prepare the statement of cash flows for Barton Publication Company, Inc., for the year ended March 31, 2010, using the indirect method for operating cash flows. Include a schedule of noncash investing and financing activities. All of the current accounts except short-term notes payable result from operating transactions.
- Also prepare a supplementary schedule of cash flows from operations using the direct method.