173. The following information is available for the Aarons Corporation: Aarons Corporation Balance Sheets At December 31 2015 2014 Assets: Cash................................... $ 24,640 $ 23,040 Accounts receivable......................... 32,180 29,400 Merchandise inventory...................... 73,125 61,710 Long-term investments...................... 55,900 56,400 Equipment............................... 175,500 145,500 Accumulated depreciation.................... (33,550 ) (31,200 ) Total assets............................... $327,795 $284,850 Liabilities: Accounts payable.......................... $ 65,000 $ 40,380 Income taxes payable....................... 10,725 10,200 Bonds payable............................ 48,750 66,000 Total liabilities............................. $124,475 $116,580 Equity: Common stock............................ 117,000 96,000 Paid-in capital in excess of par................... 13,000 9,000 Retained earnings.......................... 73,320 63,270 Total equity............................... $203,320 $168,270 Total liabilities and equity...................... $327,795 $284,850 Aarons Corporation Income Statement For Year Ended December 31, 2013 Sales............................ $240,000 Cost of goods sold................... $80,900 Depreciation expense................ 29,400 Other operating expenses.............. 48,000 Interest expense.................... 2,000 (160,300 ) Other gains (losses): Loss on sale of equipment............ (8,400 ) Income before taxes................. 71,300 Income taxes expense................ 27,650 Net income....................... $ 43,650 Additional information:(1) There was no gain or loss on the sales of the long-term investments, nor on the bonds retired.(2) Old equipment with an original cost of $37,550 was sold for $2,100 cash.(3) New equipment was purchased for $67,550 cash.(4) Cash dividends of $33,600 were paid.(5) Additional shares of stock were issued for cash. Prepare a complete statement of cash flows for calendar-year 2015 using the indirect method.

173. The following information is available for the Aarons Corporation: Aarons Corporation Balance Sheets At December 31 2015 2014 Assets: ...

173. The following information is available for the Aarons Corporation:

Aarons Corporation Balance Sheets At December 31
	2015		2014
Assets:
Cash...................................	$ 24,640		$ 23,040
Accounts receivable.........................	32,180		29,400
Merchandise inventory......................	73,125		61,710
Long-term investments......................	55,900		56,400
Equipment...............................	175,500		145,500
Accumulated depreciation....................	(33,550	)	(31,200	)
Total assets...............................	$327,795		$284,850

Liabilities:
Accounts payable..........................	$ 65,000		$ 40,380
Income taxes payable.......................	10,725		10,200
Bonds payable............................	48,750		66,000
Total liabilities.............................	$124,475		$116,580
Equity:
Common stock............................	117,000		96,000
Paid-in capital in excess of par...................	13,000		9,000
Retained earnings..........................	73,320		63,270
Total equity...............................	$203,320		$168,270
Total liabilities and equity......................	$327,795		$284,850

Aarons Corporation Income Statement For Year Ended December 31, 2013
Sales............................		$240,000
Cost of goods sold...................	$80,900
Depreciation expense................	29,400
Other operating expenses..............	48,000
Interest expense....................	2,000	(160,300	)
Other gains (losses):
Loss on sale of equipment............		(8,400	)
Income before taxes.................		71,300
Income taxes expense................		27,650
Net income.......................		$ 43,650

Additional information:
(1) There was no gain or loss on the sales of the long-term investments, nor on the bonds retired.
(2) Old equipment with an original cost of $37,550 was sold for $2,100 cash.
(3) New equipment was purchased for $67,550 cash.
(4) Cash dividends of $33,600 were paid.
(5) Additional shares of stock were issued for cash.

Prepare a complete statement of cash flows for calendar-year 2015 using the indirect method.

May 15, 2022

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