Question

The following are the financial statements of Cheyenne Corp.. Cheyenne Corp. Comparative Balance Sheets December 31 Assets 2019 2018 Cash $37,900 $20,200 Accounts receivable 32,100 19,600 Inventory 31,000 20,400 Equipment 59,500 77,800 Accumulated depreciation equipment (29,900) (23,800) Total $130,600 $114,200 Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total $28,400 $16,800 7,300 8,400 27,400 32,500 18,200 14,900 49,300 41,600 $130,600 $114,200 Cheyenne Corp. Income Statement For the Year Ended December 31, 2019 Sales revenue $242,900 Cost of goods sold 175,700 Gross profit 67,200 Operating expenses 23,700 Income from operations 43,500 Interest expense 2,900 Income before income taxes 40,600 Income tax expense 7,600 Net income $33,000 Additional data:

Answer 1

Statement of Cash Flows
For the Year Ended December 31, 2019
Cash Flows from Operating Activities:
Net income		33000
Adjustments to reconcile net income to
Net cash provided by operating activities
Depreciation expense	14800
Increase in Accounts Receivable	-12500
Increase in inventory	-10600
Increase in Accounts payable	11600
Decrease in Income taxes payable	-1100
		2200
Net cash provided by operating activities		35200
Cash Flows from Investing Activities:
Sale of Plant Assets		9600
Cash Flows from Financing Activities
Payment of Cash Dividends	-25300
Redemption of Bonds Payable	-5100
Issuance of Common Stock	3300
Net Cash Used by Financing Activities		-27100
Net Increase in Cash		17700
Cash at Beginning of Period		20200
Cash at End of Period		37900