Question

Question No. 4:                                                                                           

A Comparative Statement of Financial Position for Vivaldi Corporation is given below;

	Dec-31
Assets	2010	2009
Land	$71,000	$110,000
Equipment	270,000	200,000
Accumulated depreciation—equipment	-69,000	-42,000
Inventories	180,000	189,000
Accounts receivable	82000	66,000
Cash	63,000	22,000
Total	$597,000	$545,000
Equity and Liabilities
Share capital—ordinary ($1 par)	$214,000	$164,000
Retained earnings	199,000	134,000
Bonds payable	150,000	200,000
Accounts payable	34,000	47000
Total	$597,000	$545,000

Additional Information

1. Net Income for 2010 was $105000
2. Cash Dividend of $40000 were declared and paid
3. Bonds payable amounting to $50000 were retired.

Requirement:

Prepare Statement of Cash Flow for the year 2010.

Answer 1