Ex. 175
The following information is available for Greer Corporation for the year ended December 31, 2014:
Collection of principal on non-current loan to a supplier$15,000
Acquisition of equipment for cash10,000
Proceeds from the sale of long-term investment at book value27,000
Issuance of ordinary shares for cash20,000
Depreciation expense35,000
Redemption of bonds payable at carrying (book) value24,000
Payment of cash dividends14,000
Net income30,000
Purchase of land by issuing bonds payable40,000
In addition, the following information is available from the comparative statement of financial position for Greer at the end of 2013 and 2014:
2014 2013
Prepaid insurance $ 17,000 $13,000
Accounts receivable (net)20,00015,000
Cash 87,000 14,000
Total current assets$124,000$42,000
Accounts payable$ 25,000$19,000
Salaries and wages payable 4,000 7,000
Total current liabilities$ 29,000$26,000
Instructions
Prepare Greer's statement of cash flows for the year ended December 31, 2014 using the indirect method.