CORONADO COMPANY Income Statement For the Year Ended December 31, 2022 $18,675 6,225 Sales revenue Cost of goods sold Gross profit Selling expenses Administrative expenses Income from operations Interest expense Income before income taxes Income tax expense Net income Additional data: Y5 4 $242,500 175,200 67,300 24,900 42,400 2,700 39,700 7,940 $31,760 8.25 Net Income Additional data: 1. Depreciation expense was $17,500. 2. Dividends declared and paid were $25,960. 3. During the year, equipment was sold for $6,600 cash. This equipment originally cost $18,000 and had accumulated depreciation of $11,400 at the time of sale. 4. Bonds were redeemed at their carrying value. 5. Common stock was issued at par for cash. Further analysis reveals the following. 1. Accounts payable pertain to merchandise suppliers. 2. All operating expenses except for depreciation were paid in cash. 3. All depreciation expense is in the selling expense category. 4. All sales and inventory purchases are on account. $31,700 Presented here are the financial statements of Coronado Company. CORONADO COMPANY Comparative Balance Sheets December 31 Assets 2022 2021 Cash $36,000 $21,000 Accounts receivable 32,700 18,900 Inventory 30,100 20,100 Property, plant, and equipment 59,600 77,600 Accumulated depreciation (29,400) (23,300) Total $114,300 Liabilities and Stockholders' Equity Accounts payable $ 16,800 Income taxes payable 8,400 Bonds payable 32,100 Common stock 13,400 Retained earnings 13.600 $129,000 $28,000 7,200 26,700 17,700 19.100. Prepare a statement of cash flows for Coronado Company using the direct method. (Show amounts that decrease cash flow with either a-sign e.g. -15,000 or in parenthesis e.g. (15,000).) CORONADO COMPANY Statement of Cash Flows For the Year Ended December 31, 2022 Cash Flows from Operating Activities Cash Receipts from Customers 31760 Less ✓cash payments: To Suppliers For Operating Expenses For Interest For Income Taxes 3700 Net Cash Provided by Operating Activities ✓ 35460 -1000 11200 -1200 $ CORONADO COMPANY Comparative Balance Sheets December 31 2022 $36,000 32,700 30,100 59,600 (29,400) $129,000 $2 Assets Cash Accounts receivable Inventory Property, plant, and equipment Accumulated depreciation Total Liabilities and Stockholders' Equity Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total 7,200 26,700 17,700 49,400 $129,000 2021 $21,000 18,900 20,100 77,600 (23,300) $114,300 6,80 8,400 32,100 13,400 43,600 $114,300