Reference no: EM131757587

Kate Petusky prepared Addison Controls' balance sheet and income statement for 2013. Before she could complete the statement of cash flows, she had to leave town to attend to a family emergency. Because the full set of statements must be provided to the auditors today, Addison's president, Lance Meyers, has asked you to prepare the statement of cash flows. Meyers has provided you with the balance sheets and income statement that Petusky prepared, as well as some notes she made:

Addison Controls Income Statement For the Year Ended December 31, 2013
Sales revenue	$ 127,900
Cost of goods sold	70,210
Gross margin	57,690
Selling expense	$13,080
Administrative expense	8,130
Salaries expense	20,460
Depreciation expense	1,970
Interest expense	4,060	47,700
Income before gain and taxes	9,990
Gain on sale of Land	904
Income tax expense	810
Net income	$ 10,084

 

Addison Controls Comparative Balance Sheets As of December 31
2013	2012
Cash	$	5,310	$	4,220
Accounts receivable, net	6,480	5,570
Inventory	31,910	34,340
Total current assets	43,700	44,130
Property, plant, & equipment, net	211,500	215,350
Total Assets	$	255,200	$	259,480
Accounts payable	$	3,400	$	6,070
Accrued expenses	2,410	2,480
Taxes payable	2,100	2,650
Bonds payable	60,180	50,220
Total liabilities	68,090	61,420
Common stock	125,280	125,280
Retained earnings	61,830	72,780
Total stockholders' equity	187,110	198,060
Total liabilities & stockholders' equity	$	255,200	$	259,480

 

•	Equipment with an original cost of $35,090 was sold for $20,364. The book value of the equipment was $19,460.
•	On June 1, 2013, the company purchased new equipment for cash at a cost of $17,580.
•	At the end of the year the company issued bonds payable for $9,960 cash. The bonds will mature on December 31, 2017.
•	The company paid $21,034 in cash dividends for the year.

Using the indirect method, prepare Addison Controls' statement of cash flows for 2013. (If an amount decreases cash flow then enter with a negative sign preceding the number or parenthesis, e.g. -15,000 or (15,000).)