Matthauson Company Has the Following Comparative Balance Sheet Data Available

question 128

Essay

Matthauson Company has the following comparative balance sheet data available:
Additional information:
1. The company reports net income of $100,000 and depreciation expense of $20,000 for the year ending December 31, 2017.
2. Dividends declared and paid in 2017, $70,000.
3. Equipment with a cost of $20,000 and accumulated depreciation of $10,000 was sold for $3,000.
4. New equipment was purchased for cash.
5. No common stock was retired during 2017.
The company also reports the following income statement for the year ending December 31, 2017:
Using the direct method, prepare the statement of cash flows for the year ending December 31, 2017.

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Definitions:

Hipbone

Part of the human pelvis, comprising the ilium, ischium, and pubis, which are fused together in adults.

Ilium

The uppermost and largest part of the hip bone, contributing to the pelvis structure and providing attachment for various muscles.

Ischial Tuberosities

Bony protrusions located at the lower and back part of the pelvis, which bear the body's weight when sitting.

Iliac Fossae

The large, concave areas on the inner surface of the iliac bones, part of the pelvis.