Reference no: EM132130245
Question - HORNGREN'S Financial & Managerial Accounting
The income statement of Supplements Plus, Inc. follows:
SUPPLEMENTS PLUS, INC. Income Statement Year Ended September 30, 2016
Sales Revenue $ 234,000
Cost of Goods Sold $91,000
Gross Profit 143,000
Operating Expenses:
Salaries Expense $ 55,000
Depreciation Expense-Plant Assets 25,000
Total Operating Expenses 80,000
Net Income Before Income Taxes 63,000
Income Tax Expense 10,000
Net Income $53,000
Additional data follow:
a. Acquisition of plant assets is $121,000. Of this amount, $104,000 is paid in cash and $17,000 by signing a note payable.
b. Cash receipt from sale of land totals $26,000. There was no gain or loss.
c. Cash receipts from issuance of common stock total $30,000.
d. Payment of notes payable is $16,000.
e. Payment of dividends is $9,000.
f. From the balance sheet: September 30
2016 2015
Cash
Accounts Receivable $38,000 12,000
Merchandise Inventory 44,000 60,000
Plant Assets 201,000 80,000
Accumulated Depreciation (35,000) (10,000)
Land 75,000 101,000
Accounts Payable 31,000 15,000
Accrued Liabilities 20,000 26,000
Notes Payable (long-term) 17,000 16,000
Common Stock, no par 37,000 7,000
Retained Earnings 309,000 265,000
REQUIREMENTS - Prepare Supplements Plus's statement of cash flows for the year ended September 30, 2016, using the indirect method. Include a separate section for non-cash investing and financing activities.