financeComplete the following spreadsheet in preparation of the statement of cash flows. (The statement of cash flows is not required.) Prepare the spreadsheet as in the previous exhibit under the *indirect method*. Identify the debits and credits in the Analysis of Changes columns with letters that correspond to the following transactions and events *a* through *h*.
f. $70,000 increase in accounts receivable.
$$
\begin{array}{c}
\textbf{SCORETECK CORPORATION}\\
\textbf{Spreadsheet for Statement of Cash Flows—Indirect Method}\\
\textbf{For Year Ended December 31, 2019}\\
\end{array}
$$
$$
\begin{array}{c}
&&&&&&&&&&&&&&&&&&&&&&\underline{\textbf{Analysis of Changes}}\\
\end{array}
$$
$$
\begin{array}{lccc}
&\textbf{Dec. 31, 2018}&\textbf{Debit}&\textbf{Credit}&\textbf{Dec. 31, 2019}\\[2pt]
\textbf{Balance Sheet—Debit Bal. Accounts}\\[2pt]
\qquad\text{Cash}&\text{\$\hspace{15pt}80,000}&&&\text{\$\hspace{15pt}60,000}\\
\qquad\text{Accounts receivable}&\text{\hspace{15pt}120,000}&&&\text{\hspace{15pt}190,000}\\
\qquad\text{Inventory}&\text{\hspace{15pt}250,000}&&&\text{\hspace{15pt}230,000}\\
\qquad\text{Plant assets}&\underline{\text{\hspace{15pt}600,000}}&&&\underline{\text{\hspace{15pt}670,000}}\\
&\underline{\underline{\text{\$\hspace{2pt}1,050,000}}}&&&\underline{\underline{\text{\$\hspace{2pt}1,150,000}}}\\[10pt]
\textbf{Balance Sheet—Credit Bal. Accounts}\\[2pt]
\qquad\text{Accumulated depreciation}&\text{\$\hspace{10pt}100,000}&&&\text{\$\hspace{10pt}170,000}\\
\qquad\text{Accounts payable}&\text{\hspace{15pt}150,000}&&&\text{\hspace{15pt}140,000}\\
\qquad\text{Notes payable}&\text{\hspace{15pt}370,000}&&&\text{\hspace{15pt}390,000}\\
\qquad\text{Common Stock}&\text{\hspace{15pt}200,000}&&&\text{\hspace{15pt}200,000}\\
\qquad\text{Retained earnings}&\underline{\text{\hspace{15pt}230,000}}&&&\underline{\text{\hspace{15pt}250,000}}\\
&\underline{\underline{\text{\$\hspace{2pt}1,050,000}}}&&&\underline{\underline{\text{\$\hspace{2pt}1,150,000}}}\\[10pt]
\textbf{Statement of Cash Flows}\\
\qquad\text{Operating activities}\\
\qquad\qquad\text{Net income}\\
\qquad\qquad\text{Increase in accounts receivable}\\
\qquad\qquad\text{Decrease in inventory}\\
\qquad\qquad\text{Decrease in accounts payable}\\
\qquad\qquad\text{Depreciation expense}\\
\qquad\text{Investing activities}\\
\qquad\qquad\text{Cash paid to purchase plant assets}\\
\qquad\text{Financing activities}\\
\qquad\qquad\text{Cash paid for dividends}\\
\qquad\qquad\text{Cash from issuance of notes}\\
\end{array}
$$ 15th Edition•ISBN: 9781337520164John David Jackson, Patricia Meglich, Robert Mathis, Sean Valentine249 solutions
13th Edition•ISBN: 9781260430479Arthur Getis, Daniel Montello, Mark Bjelland107 solutions
8th Edition•ISBN: 9781305585126 (1 more)N. Gregory Mankiw1,337 solutions
1st Edition•ISBN: 9780078953125 (1 more)Carl A. Woloszyk, Grady Kimbrell, Lois Schneider Farese1,600 solutions
