The following income statement and additional year-end information is provided. SONAD COMPANY Income Statement Sales For Year Ended December 31 $ 2,466,000 1,208,340 1,257,660 Cost of goods sold Gross profit Operating expenses Salaries expense Depreciation expense Rent expense Amortization expenses-Patents Utilities expense Gain on sale of equipment Net income $ 337,842 59,184 66,582 7,398 27,126 498,132 759,528 9,864 $ 769,392 Accounts receivable Inventory $ 40,500 increase Accounts payable 25,375 increase Salaries payable $ 9,125 decrease 2,050 decrease Prepare the operating activities section of the statement of cash flows using the indirect method. Note: Amounts to be deducted should be indicated with a minus sign. Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities
The following income statement and additional year-end information is provided. SONAD COMPANY Income Statement Sales For Year Ended December 31 $ 2,466,000 1,208,340 1,257,660 Cost of goods sold Gross profit Operating expenses Salaries expense Depreciation expense Rent expense Amortization expenses-Patents Utilities expense Gain on sale of equipment Net income $ 337,842 59,184 66,582 7,398 27,126 498,132 759,528 9,864 $ 769,392 Accounts receivable Inventory $ 40,500 increase Accounts payable 25,375 increase Salaries payable $ 9,125 decrease 2,050 decrease Prepare the operating activities section of the statement of cash flows using the indirect method. Note: Amounts to be deducted should be indicated with a minus sign. Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter15: Financial Statement Analysis
Section: Chapter Questions
Problem 40E: Cuneo Companys income statements for the last 3 years are as follows: Refer to the information for...
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