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Seatwork No. 2 PDF
Seatwork No. 2 PDF
SEATWORK NO. 2
SUDAN COMPANY uses the direct method to prepare its statement of cash flows. Sudan’s trial balances at
December 31, 2023 and 2022 are shown below:
DECEMBER 31
DEBITS 2023 2022
Cash P105,000 P96,000
Accounts receivable 99,000 90,000
Inventory 93,000 141,000
Property, plant and equipment 300,000 285,000
Unamortized bond discount 13,500 15,000
Cost of goods sold 750,000 1,140,000
Selling expenses 424,500 516,000
General and administrative expenses 411,000 453,900
Interest expense 12,900 7,800
Income tax expense 61,200 183,600
TOTAL P2,270,100 P2,928,300
DECEMBER 31
CREDITS 2023 2022
Allowance for bad debts P3,900 P3,300
Accumulated depreciation 49,500 45,000
Accounts payable – trade 75,000 46,500
Income taxes expense 63,000 87,300
Deferred income taxes payable 15,900 13,800
8% Bonds payable 135,000 60,000
Ordinary share capital 150,000 120,000
Share premium 27,300 22,500
Retained earnings 134,100 193,800
Sales 1,616,400 2,336,100
TOTAL P2,270,100 P2,928,300
Required:
Based on the preceding data, determine the amounts that should be reported on Sudan’s Statement of
cash flows for the year ended December 31, 2023, for the following: