Reference no: EM132650347

Problem 1: Preparing Statement of Cash Flows

Boscia Corporation's balance sheet appears below: Comparative Balance Sheet

                                                                Ending Balance                   Beginning Balance

Assets:

Cash and cash equivalents .........................  $ 44                                     $ 38

Accounts receivable ..................................   82                                       69

Inventory ................................................... 71                                      69

Plant and equipment ..................................   537                                     500

Accumulated depreciation .........................   ( 240)                                   ( 201)

Total assets ................................................ $494                                   $475

Liabilities and stockholders' equity:

Accounts payable ...................................... $ 70                                       $ 60

Wages payable ........................................... 24                                          21

Taxes payable ............................................ 19                                           22

Bonds payable ........................................... 226                                        300

Deferred taxes ............................................ 19                                        18

Common stock ........................................... 22                                          20

Retained earnings ...................................... 114                                          34

Total liabilities and stockholders' equity ..      $494                                      $475