The Management Team of Wickersham Brothers Inc

question 37

Essay

The management team of Wickersham Brothers Inc.is preparing its annual financial statements.The statements are complete except for the statement of cash flows.The completed comparative balance sheets and income statements are summarized.

Other information from the company's records includes the following:
-Bought equipment for cash,$50,000.
-Paid $10,000 on long-term note payable.
-Issued new shares of common stock for $20,000 cash.
-Cash dividends of $16,000 were declared and paid to stockholders.
-Accounts Payable arose from inventory purchases on credit.
-Income Tax Expense ($4,000)and Interest Expense ($3,000)were paid in full at the end of both years and are included in Other Expenses.
Required:
Prepare a schedule summarizing operating,investing,and financing cash flows using the T-account approach

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Definitions:

Feeling Numb

A state of reduced or absent sensations, often referring to a psychological response where a person is detached from emotional or physical feeling.

Homeostasis

The ability of an organism or environment to maintain stability and balance despite changes or outside challenges.

General Adaptation Syndrome

A model describing the body's short-term and long-term reactions to stress, consisting of three stages: alarm, resistance, and exhaustion.

Resistance

The refusal to accept or comply with something; the act of trying to prevent something by action or argument.