The following income statement and information about changes in noncash current assets and current liabilities are...

80.2K

Verified Solution

Question

Accounting

The following income statement and information about changes innoncash current assets and current liabilities are reported.
SONAD COMPANY Income Statement For Year Ended December 31, 2017Sales $ 2,177,000 Cost of goods sold 1,066,730 Gross profit1,110,270 Operating expenses Salaries expense $ 298,249Depreciation expense 52,248 Rent expense 58,779 Amortizationexpenses–Patents 6,531 Utilities expense 23,947 439,754 670,516Gain on sale of equipment 8,708 Net income $ 679,224 Changes incurrent asset and current liability accounts for the year thatrelate to operations follow. Accounts receivable $ 31,350 increaseAccounts payable $ 12,175 decrease Inventory 11,400 increaseSalaries payable 1,200 decrease Required: Prepare only the cashflows from operating activities section of the statement of cashflows using the indirect method. (Amounts to be deducted should beindicated with a minus sign.)

Answer & Explanation Solved by verified expert

3.9 Ratings (346 Votes)

SONAD COMPANY Cash Flow Statement For year ended 31st December 2017 A Cash Flows from Operating Activity Net Income 67922400 Adjustments Depreciation expense 5224800 Gain See Answer

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!

Become a Member