Exercise 17-13 The 2020 accounting records of Blocker Transport reveal these transactions and events. Payment of...

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Accounting

Exercise 17-13 The 2020 accounting records of Blocker Transportreveal these transactions and events. Payment of interest $10,600Collection of accounts receivable $190,700 Cash sales 49,900Payment of salaries and wages 56,100 Receipt of dividend revenue17,100 Depreciation expense 15,000 Payment of income taxes 15,300Proceeds from sale of vehicles 12,600 Net income 37,900 Purchase ofequipment for cash 21,700 Payment of accounts payable Loss on saleof vehicles 3,200 for merchandise 114,400 Payment of dividends14,600 Payment for land 73,800 Payment of operating expenses28,700

Prepare the cash flows from operating activities section using thedirect method.

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Note 1 In the 2nd last line question got mixed up or some details are missing The problematic line is Payment of accounts payable Loss on sale of vehicles 3200 for merchandise 114400 2 Correct information should have been as follows A Payment of Accounts payable for merchandise 114400 B Loss on sale of Vehicles 3200 OR A Payment of Accounts payable for merchandise 3200 B Loss on sale of Vehicles 114400 I am solving by considering both scenarios SOLUTION 1 USING DIRECT METHOD CASH FLOW FROM OPERATING See Answer

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