Reference no: EM132781132
Question - Larry's Landscaping April to June Statement of Cash Flows
The following are the Balance Sheets for Larry's as of March 31, 2021 and June 30, 2021:
|
|
June 30, 2021
|
March 31, 2021
|
|
Assets
|
|
|
|
Cash
|
$25,000
|
$17,500
|
|
Accounts Receivable
|
9,500
|
0
|
|
Supplies
|
1,600
|
0
|
|
Prepaid Insurance
|
2,700 0
|
|
|
Total Current Assets
|
38,800
|
17,500
|
|
Equipment
|
94,000
|
40,000
|
|
Building
|
100,000
|
100,000
|
|
Accumulated Depreciation Equipment
|
(2,200)
|
(500)
|
|
Accumulated Depreciation Building
|
(4,000)
|
(1,000)
|
|
Land
|
17,000
|
20,000
|
|
Total Property, Plant & Equipment
|
204,800
|
158,500
|
|
Total Assets
|
$243,600
|
$176,000
|
|
Liabilities
|
|
|
|
Wages Payable
|
$0
|
$0
|
|
Interest Payable
|
500
|
0
|
|
Total Current Liabilities
|
500
|
0
|
|
Note Payable Long-Term
|
105,000
|
110,000
|
|
Note Payable for Equipment
|
50,000
|
0
|
|
Total Liabilities
|
155,500
|
110,000
|
|
Owners' Equity
|
|
|
|
Common Stock
|
6,000
|
6,000
|
|
Paid-in Capital in Excess of Par Value
|
54,000
|
54,000
|
|
Retained Earnings
|
28,100
|
6,000
|
|
Total Owners' Equity
|
88,100
|
66,000
|
|
Total Liabilities and Equity
|
$243,600
|
$176,000
|
The following is additional information for the period April 1 to June 30, 2021:
$50,000 of Equipment was purchased by issuing a Note to the equipment vendor. No cash was paid to the vendor.
$4,000 of Equipment was purchased for $4,000 cash.
Land was sold for $5,000 cash. The land had a cost of $3,000; thus there was a $2,000 gain on the sale of the land. The $2,000 gain is included in Net Income.
A $5,000 cash payment was made to pay down the Note Payable Long-Term.
The April 1 to June 30, 2021 Income Statement showed Net Income of $30,100.
An $8,000 dividend was declared and paid during the period April 1 to June 30, 2021.
Requirement - Prepare a Cash Flow Worksheet for the period April 1 to June 30, 2021.