During a recent year, Nicole's Getaway Spa (NGS) reported net income of $2,850. The company...
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During a recent year, Nicole's Getaway Spa (NGS) reported net income of $2,850. The company reported the following activities: a. Increase in inventory of $390. b. Depreciation of $2,900. c. Increase of $2,160 in prepaid expenses. d. Payments of $4,500 on long-term debt. e. Purchased new spa equipment for $7,572. f. Payments on accounts payable exceeded purchases by $310. g. Collections on accounts receivable exceeded credit sales by $849. h. Issued $12,000 of common stock. Required: Based on this information, prepare a statement of cash flows for the year ended December 31 using the indirect method. Assume the cash balance at the beginning of the year was $6,900. (Amounts to be deducted should be indicated with a minus sign.) NICOLE'S GETAWAY SPA Statement of Cash Flows For the Year Ended December 31
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