Jubilee Corporation acquired 80% ownership of Beast Company…
Jubilee Corporation acquired 80% ownership of Beast Company on January 1, 2046, at underlying book value. At that date, the fair value of the noncontrolling interest was equal to 20% of the book value of Beast Company. Jubilee and Beast paid dividends of $25,000 and $15,000, respectively, in 2048. Consolidated balance sheets at January 1, 2048, and December 31, 2048, are as follows: The consolidated income statement for 2048 contained the following amounts: Additional information for 2048: Beast sold equipment with cost of $40,000 and that was 50% depreciated to Iceman, Inc., an unaffiliated party, for $30,000 cash. Jubilee purchased patents valued at $10,000 by issuing 2,000 shares of common stock. Other expenses on the income statement includes depreciation expense and amortization expense. Required: Prepare a complete consolidated statement of cash flows for 2048, using the indirect method for computing cash flows from operating activities. Calculate the following cash flows to be shown in the cash flows from operating activities section of the consolidated statement of cash flows for 2048 using the direct method. Assume that any inventory purchased is on account and that the Accounts Payable account is used to record purchases of inventory. List your answers in the following order. Cash received from customers Cash paid to suppliers Cash paid to employees Cash paid for interest Cash paid for other expenses