Exercise 23-18 The accounts below appear in the ledger of Teal Company. ...
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Accounting
Exercise 23-18
The accounts below appear in the ledger of Teal Company.
Retained Earnings
Dr.
Cr.
Bal.
Jan. 1, 2017
Credit Balance
$42,100
Aug. 15
Dividends (cash)
$15,100
27,000
Dec. 31
Net Income for 2017
$40,300
67,300
Equipment
Dr.
Cr.
Bal.
Jan. 1, 2017
Debit Balance
$139,300
Aug. 3
Purchase of Equipment
$62,300
201,600
Sept. 10
Cost of Equipment Constructed
48,500
250,100
Nov. 15
Equipment Sold
$55,500
194,600
Accumulated DepreciationEquipment
Dr.
Cr.
Bal.
Jan. 1, 2017
Credit Balance
$84,800
Apr. 8
Major Repairs
$21,100
63,700
Nov. 15
Accum. Depreciation on Equipment Sold
25,300
38,400
Dec. 31
Depreciation for 2017
$16,600
55,000
From the postings in the accounts above, indicate how the information is reported on a statement of cash flows by preparing a partial statement of cash flows using the indirect method. The loss on sale of equipment (November 15) was $5,900. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)
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