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Sinjh Inc Direct method

Price: $2.50


Condensed financial data of Sinjh Inc. follow.


Sinjh Inc. 
Comparative Balance Sheets
12/31/14
Assets   2,014  2,013
Cash   100,350  48,400
Accounts receivable   92,800  33,000
Inventory   112,500  102,850
Prepaid expenses   29,300  26,000
Long-term investments   140,000  114,000
Plant assets   265,000  242,500
Accumulated depreciation   (47,000)  (52,000)
 Total   692,950  514,750
Liabilities and Stockholders' Equity 
Accounts payable   112,000  67,300
Accrued expenses payable   16,500  17,000
Bonds payable   110,000  150,000
Common stock   220,000  175,000
Retained earnings   234,450  105,450
 Total   692,950  514,750
Sinjh Inc. 
Comparative Balance Sheets
31-Dec
Sales   392,780
Gain on disposal of plant assets   5,000  397,780
Less: 
Cost of goods sold   135,460
Operating expenses, excluding 
depreciation   12,410
 Depreciation expense   45,000
 Income taxes   27,280
 Interest expense   4,730  224,880
Net income   172,900

Additional information:
1. New plant assets costing $80,000 were purchased for cash during the year.
2. Old plant assets having an original cost of $57,500 and accumulated depreciation of
$50,000 were sold for $12,500 cash.
3. Bonds payable matured and were paid off at face value for cash.
4. A cash dividend of $43,900 was declared and paid during the year.

Instructions
Prepare a statement of cash flows for Sinjh Inc. using the direct method.

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