Answer:
$28,250
Explanation:
Chapman Company Statement of Cashflow using Indirect method
Cash flow from Operating Activities:
Net income$130000
Adjustment to reconcile net income to cash basis:
Depreciation expense $25000
Increase Account receivable ($17000)
Decrease Inventory$30000
Increase Prepaid Expense ($2000)
Increase Account payable $8000
Decrease Salaries & Wages Payable ($24750)
Increase Interest payable $2000
Balance $21250
Cash flow from Operating Activities $151250
Cash flow from Investing Activities:
Cash paid for purchase of plant assets ($28000)
Cash flow from Investing Activities ($28000)
Cash flow from Financing Activities:
Issue common stock (2000 * $10)$20000
Repaid Bonds($30000)
Cash dividend paid ($105000)
Cash flow from Financing Activities ($115000)
Net cash Increase/(decrease) $8250
Add: Beginning Cash Balance $20000
Ending Cash Balance $28,250
