The Following Information Is Available for the Ehrens Corporation

question 13

Essay

The following information is available for the Ehrens Corporation:
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. Management wishes to classify this under financing activities.
(5) Additional shares were issued for cash.
Prepare a complete statement of cash flows for year 2011 using the indirect method.

---

Definitions:

Loftus

Elizabeth Loftus, a cognitive psychologist known for her work on the malleability of human memory and the misinformation effect.

Memories of the Accident

The recollections retained in the brain related to a specific traumatic or significant incident.

Positive Transfer

When knowledge or skills acquired in one context improve performance in another context.

Knowledge of Latin

Understanding and proficiency in the Latin language, once widely used in Europe and still used in specific contexts like legal, scientific, and religious texts.