Prepare a statement of cash flows for the year ended December 31, 2018 using the indirect method
Extracted text: Saturn Company Income Statement for year cnded Dec. 31,2018 Sales Revenue Cost of Goods Sold $238,000 153,000 Gross Profit Operating Expenses: Depreciation Expense Insurance Expense Salaries Expense Other Operating Expenses Total Operating Expenses Operating Income Other Revenue and (Expenses): Gain on Sale of Land Interest Expense Total Other Revenue and Expenses Income Before Income Tax Income Tax Expense Net Income 85,000 $14,400 12,000 42,600 11,100 80,100 4,900 4,800 (3,500) 1,300 6,200 1,860 S 4,340 Additional Information: 1. Saturn Company sold land with an original cost of $10.000, for $14,800 cash. 2. A new parcel of land was purchased for $20,000. in exchange for a note payable. 3. Plant assets were purehased for $40.000 cash. 4. Saturn declared and paid a $440 cash dividend to shareholders. 5. Saturn issued common stock in exchange for S45.000 cash. Prepare a cash flow statement for Saturm Company using the indireet method for the year ended 31 December 2018
![[Question 1]<br>Saturn Company<br>Comparative Balance Sheet<br>2018<br>2017<br>Assets<br>Cash<br>Accounts Recelvable<br>Prepaid Insurance<br>Inventory<br>Land<br>Plant Assets<br>$ 47,500<br>21,500<br>2,500<br>48,000<br>20.000<br>230,000<br>(85,500)<br>$284.000<br>S 24,300<br>26,000<br>1,800<br>45,500<br>10,000<br>190,000<br>(71,100)<br>$226,500<br>Accumulated Depreciation<br>Total Assets<br>Llabilities and Equity<br>Liabilities:<br>Accounts Payable<br>Salaries Payable<br>Notes Payable<br>$ 17,200<br>1,900<br>85,000<br>$ 19,000<br>1,500<br>75,000<br>95,500<br>Total Liabiltes<br>104.100<br>Equity<br>Common Stock<br>Retained Earnings<br>Total Equity<br>Total Liabilities and Equity<br>115.000<br>64.900<br>70,000<br>61,000<br>179.900<br>00000<br>$284.000<br>$226,500<br>](https://s3.us-east-1.amazonaws.com/storage.unifolks.com/qimg-008/008_n7uazz0-ctzdmlrc.jpeg)
Extracted text: [Question 1] Saturn Company Comparative Balance Sheet 2018 2017 Assets Cash Accounts Recelvable Prepaid Insurance Inventory Land Plant Assets $ 47,500 21,500 2,500 48,000 20.000 230,000 (85,500) $284.000 S 24,300 26,000 1,800 45,500 10,000 190,000 (71,100) $226,500 Accumulated Depreciation Total Assets Llabilities and Equity Liabilities: Accounts Payable Salaries Payable Notes Payable $ 17,200 1,900 85,000 $ 19,000 1,500 75,000 95,500 Total Liabiltes 104.100 Equity Common Stock Retained Earnings Total Equity Total Liabilities and Equity 115.000 64.900 70,000 61,000 179.900 00000 $284.000 $226,500