6) The following schedule relates the income statement with cash flows from...
50.1K
Verified Solution
Link Copied!
Question
Accounting
6)
The following schedule relates the income statement with cash flows from operating activities, derived by both the direct and indirect methods. Some elements necessary to complete the schedule are missing. Required: Complete the schedule by determining each of the following missing elements: (Amounts to be deducted should be indicated with a minus sign.) Cash flows from Operating Activities Indirect Method Income Statement Direct Method Net income Adjustments 5 Gain on sale of equipment Cost of goods sold Salaries expense Depreciation expense 399 Decrease in accounts receivable 33 Gain on sale of equipment Increase in inventory Increase in accounts payable (60) (18) Depreciation expense Decrease in bond discount (39) Decrease in prepaid insurance (15) Loss on sale of land 145) Increase in income tax payable Net cash flows from operating activities 15 Cash received from customers (33) (Not reported no cash effect) (21) 27 Cash paid to suppliers 15 Cash paid to employees 18 Cash paid for depreciation 5 Cash paid for interest 18 Cash paid for insurance 15 Not reported no cash effect) Cash paid for income taxes 117 Net cash flows from operating activities Interest expens Insurance expense LOSS on sale of land Income tax expense $
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
