Everything is correct so far, I need help with the non-cash investing and financ

Question

Everything is correct so far, I need help with the non-cash investing and financing activities.

Chapter 21-Homework G Problem 21-17 Statement of cash flows; indirect method [LO21-4, 21-8] Comparative balance sheets for 2018 and 2017 and a statement of income for 2018 are g?en below for Metaarobolize industries Additional Information from the accounting records of Metagrobolize also is provided. 3 METAGROBOLIZE INDUSTRIES Comparative Balance Sheets December 31, 2018 and 2017 (s in eees) 2018 2017 Assets Cash Accounts receivable Inventory Land Building 600 900 675 900 $ 580 375 450 525 600 900 Less: Accumulated depreciation (300) (270) Equipment 2,85e 2,25e Less: Accumulated depreciation (525) (4) Patent 1,2ee 1,58e $ 6,88e $5,85e Liabilities Accounts payable Accrued expenses payable Lease liability-land Shareholders' Equity Common stock Paid-in capital-excess of par Retained earnings $750458 225 300 130 3,15 3,00e 750 675 1,58e $ 6,88e $5,85e 1,8ee METAGROBOLIZE INDUSTRIES Income Statement For the Year Ended December 31, 2018 (s in eees) Revenues Sales revenue Gain on sale of land $2,645 9e $2,735 Expenses Cost of goods sold Depreciation expense-building Depreciation expense-equipment Loss on sale of equipment Amortization of patent Operating expenses s 600 30 315 15 300 $ 5ee 1,76e $ 975 Net income Additional Information from the accounting records: a. Annual payments of $20,000 on the finance lease liablity are pald each January 1, beginning In 2018 b. During 2018, equipment with a cost of $300,000 (90% depreciated) was sold c. The statement of shareholders' equity reveals reductions of $225,000 and $450,000 for stock dividends and cash dividends respectively

Explanation / Answer

Non Cash Investing & Financing Activities: ($ in 000s)

Acquired Land = $150

[675+165-90-600]

Issue of Share = $ 150

[3150-3000]

Increase in Retained Earning = $ 300

[1800-1500]

Paid in Capital - Excess of Par = $ 75

[750-675]  

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