Reference no: EM132495144

Paddleboard Inc. began operations on January 1, 2019. Its post-closing trial balance at December 31, 2019 and 2020, is shown below along with some other information.

Other information regarding Paddleboard Inc. and its activities during 2020:

Paddleboard Inc.
Income Statement
For Year Ended December 31, 2020
(000s)

Revenues:
Sales                                              $3,244
Cost of goods sold                            1,566
Gross Profit                                       1,678
Expenses:
Other expenses                                     $ 650
Depreciation expense 30
Total operating expenses                         680
Profit from operations                           998
Income tax expense                                588
Profit                                                   $ 410

Paddleboard Inc.
Post-Closing Trial Balance
(000s)

Account	2020	2019
Cash	$1,980	$1,750
Receivables	2,710	1,990
Merchandise inventory	2,470	2,950
Property, plant and equipment	2,950	2,630
Accumulated depreciation	1,830	1,800
Investments	1,990	2,150
Accounts payable	1,830	1,350
Accrued liabilities	40	480
Bonds payable	1,620	2,310
Common shares	2,950	2,050
Retained earnings	3,830	3,480

1. Assume all accounts have normal balances.
2. Cash dividends were declared and paid during the year.
3. There were no sales of property, plant, and equipment assets during the year.
4. Investments were sold for cash at their original cost.

Required:

Question 1: Using the information provided, a statement of cash flows (applying the indirect method) for the year ended December 31, 2020. (any deduction in cash and cash outflows as negative amounts. amounts in thousands, not in dollar.)