I.Assignment Requirement:
This assignment is about how to make and analyze three statements, especially for Cash Flow Statement. Selected financial statement information and additional data for A Company is presented below Please Prepare a statement of cash flows for the year ending December 31, 2016.
Please try to finish your assignment and submit your assignment to e-class no later than 18:00 on Oct. 12th. Late submission will NOT be accepted and 10 points will be deducted from your final scores.
A Company
                Dec. 31, 2016        Dec. 31, 2015
Property, Plant, and Equipment                $1,241,000                   $1,122,000
Less: Accumulated Depreciation        (476,000)        (442,000)
            765,000            680,000
Current Assets:
Inventory            391,000            340,000
Accounts Receivable        238,000        306,000
Cash        153,000        119,000
Total Current Assets        782,000        765,000

Total Assets                1,547,000                1,445,000

Equity:
Share Capital–Ordinary                510,000                467,500
Retained Earnings        374,000        340,000
Total Equity           884,000           807,500

        Non-Current Liabilities:
Bonds Payable        340,000        391,000

Current Liabilities:
Accounts Payable        187,000        102,000
Notes Payable        51,000        68,000
Income Taxes Payable              85,000            76,500
Total Current Liabilities        323,000        246,500

Total Liabilities        663,000        637,500

Total Liabilities & Equity                1,547,000                  1,445,000


Sales Revenue          $1,615,000                $1,513,000
Less Cost of Goods Sold        731,000        731,000
Gross Profit        884,000        782,000
Expenses:
Depreciation Expense        153,000        136,000
Salaries and Wages Expense        391,000        357,000
Interest Expense        34,000        34,000
Loss on Sale of Equipment            17,000                   0
Income Before Taxes        289,000        255,000
Less Income Tax Expense          119,000          102,000
Net Income         $  170,000         $  153,000

Additional Information:
During the year, A Company sold equipment with an original cost of $153,000 and accumulated depreciation of $119,000 and purchased new equipment for $272,000.