The following financial statements and additional information are reported. IKIBAN INCORPORATED Comparative Balance Sheets

 The following financial statements and additional information are reported. IKIBAN INCORPORATED
Comparative Balance Sheets

 

Additional Information

A $30,000 notes payable is retired at its $30,000 carrying (book) value in exchange for cash.
The only changes affecting retained earnings are net income and cash dividends paid.
New equipment is acquired for $57,600 cash.
Received cash for the sale of equipment that had cost $48,600, yielding a $2,000 gain.
Prepaid Expenses and Wages Payable relate to Operating Expenses on the income statement.
All purchases and sales of inventory are on credit. 

Required:
(1) Prepare a statement of cash flows using the indirect method for the year ended June 30, 2021. 

 

 

(2) Compute the company’s cash flow on total assets ratio for its fiscal year 2021.

Thanks