Lansing Company’s current-year income statement and selectedbalance sheet data at December 31 of the current and prior yearsfollow.
LANSING COMPANY
Income Statement
For Current Year Ended December 31 |
| Sales revenue | $ | 157,200 | |
| Expenses | | | |
| Cost of goods sold | | 62,000 | |
| Depreciation expense | | 22,000 | |
| Salaries expense | | 38,000 | |
| Rent expense | | 11,000 | |
| Insurance expense | | 5,800 | |
| Interest expense | | 5,600 | |
| Utilities expense | | 4,800 | |
| Net income | $ | 8,000 | |
|
LANSING COMPANY
Selected Balance Sheet Accounts |
| At December 31 | Current Year | | Prior Year |
| Accounts receivable | | $ | 7,600 | | | | $ | 9,800 | |
| Inventory | | | 3,980 | | | | | 2,540 | |
| Accounts payable | | | 6,400 | | | | | 8,600 | |
| Salaries payable | | | 1,280 | | | | | 900 | |
| Utilities payable | | | 620 | | | | | 360 | |
| Prepaid insurance | | | 460 | | | | | 680 | |
| Prepaid rent | | | 620 | | | | | 380 | |
|
Required:
Prepare the operating activities section of the statement of cashflows using the indirect method for the current year.(Amounts to be
