- Check My Work 8 Comparative Balance Sheets For 2021 And 2020 A Statement Of Income For 2021 And Additional Information 1 (51.72 KiB) Viewed 61 times
records:
Required:
Prepare the statement of cash flows for Red, Inc., using the
indirect method to report operating
activities. (Amounts to be deducted should be
indicated with a minus sign. Enter your answers in millions (i.e.,
10,000,000 should be entered as 10).)
Check my work 8 Comparative balance sheets for 2021 and 2020, a statement of income for 2021, and additional information from the accounting records of Red, Inc., are provided below. 7 points eBook Print References RED, INC. Comparative Balance Sheets December 31, 2021 and 2020 ($ in millions) 2021 2020 Assets Cash $ 41 $ 165 Accounts receivable 192 149 Prepaid insurance 15 8 Inventory 319 192 Buildings and equipment 434 367 Lesa: Accumulated depreciation (136) (257) S 365 $ 624 Liabilities Accounts payable $ 104 $ 134 Accrued liabilities 14 20 Notes payable 67 0 Bonds payable 178 0 Shareholders' Equity Common stock 417 117 Retained earnings 85 53 $ 265 $ 624 RED, INC Statement of Income For Year Ended December 31, 2021 ($ in millions) Revenues sales revenue $2,170 Expenses Cost of goods sold $1,469 Depreciation expense 69 Operating expenses 533 2,071 Net incom $ 99