Cash Flows from Operating Activities-Indirect Method The net income reported on the income statement for the current year was $294,100. Depreciation recorded on equipment and a building amounted to $87,900 for the year. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows: End of Year Beginning of Year Cash $75,580 $80,110 Accounts receivable (net) 95,840 98,860 Inventories 188,950 170,310 Prepaid expenses 10,510 11,300 Accounts payable (merchandise creditors) 84,420 89,400 Salaries payable 12,170 11,140 a. Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments. Statement of Cash Flows (partial) Cash flows from operating activities: Net income Adjustments to reconcile net income to net cash flow from operating activities: Depreciation :V Changes in current operating assets and liabilities: Decrease in accounts receivable Increase in inventories Decrease in prepaid expenses Decrease in accounts payable Increase in salaries payable -V Net cash flow from operating activities

Exercise 16 - 5 (Algo) Indirect: Cash flows from operating activities LO P2SFitz Company reports the following information.Selected Annual Income Statement DataNet incomeDepreciation expenseAmortization expenseGain on sale of plant assetsSelected Year - End Balance Sheet Data$ 376,000 Accounts receivable decrease 44,200 Inventory decrease 7,300 Prepaid expenses increase6, 100 Accounts payable decreaseSalaries payable increase$ 122, 40042, 5005, 8008, 8002, 400Use the indirect method to prepare the operating activities section of its statement of cash flows for the year ended

Print Item Cash Flows from Operating Activities—Indirect Method The net income reported on the income statement for the current year was $149,000. Depreciation recorded on store equipment for the year amounted to $24,600. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows:   End of Year Beginning of Year Cash $58,710   $53,430   Accounts receivable (net) 42,100   39,480   Merchandise inventory 57,480   60,110   Prepaid expenses 6,460   5,080   Accounts payable (merchandise creditors) 55,010   50,540   Wages payable 30,060   33,020   a.  Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments.   Statement of Cash Flows (partial)   Cash flows from operating activities:       $   Adjustments to reconcile net income to…

Cash Flows from Operating Activities—Indirect Method The income statement disclosed the following items for year: Depreciation expense $36,900 Gain on disposal of equipment 21,510 Net income 222,200 The changes in the current asset and liability accounts for the year are as follows:   Increase(Decrease) Accounts receivable $5,740 Inventory (3,270)   Prepaid insurance (1,230) Accounts payable (3,890) Income taxes payable 1,230 Dividends payable 860 a. Prepare the Cash Flows from Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments.   Statement of Cash Flows (partial) For the year ended xxx Cash flows from operating activities:     Net income  $fill in the blank edc573f62020fa6_2   Adjustments to reconcile net income to net cash flow from operating activities:     Depreciation  fill in the blank…

it is about constructing cash flow statement using indirect method, how is it get the 45? And please explain the calculation.

Cash Flows from Operating Activities—Indirect Method Selected data derived from the income statement and balance sheet of National Beverage Co. for a recent year are as follows: Income statement data (in thousands): Net income $149,774 Loss on disposal of property (149) Depreciation expense 13,226 Other items involving noncash expense 837 Balance sheet data (in thousands):   Increase in accounts receivanle 13,041 Increase in inventory 7,565 Increase in prepaid expense 10,548 Increase in accounts payable and other current liabilities 17,464 a.  Prepare the Cash Flows from (used for) Operating Activities section of the statement of cash flows, using the indirect method for National Beverage Co. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. Enter the amounts in thousands of dollars, as shown above. National Beverage Co. Cash Flows from Operating Activities (in thousands) Cash flows…

termining Net Income from Net Cash Flow from Operating Activities Curwen Inc. reported net cash flow from operating activities of $216,400 on its statement of cash flows for the year ended December 31. The following information was reported in the “Cash flows from operating activities” section of the statement of cash flows, using the indirect method: Decrease in income taxes payable $4,200 Decrease in inventories 10,400 Depreciation 16,000 Gain on sale of investments 7,200 Increase in accounts payable 2,900 Increase in prepaid expenses 1,800 Increase in accounts receivable 7,800 a. Determine the net income reported by Curwen Inc. for the year ended December 31.$fill in the blank 1 b. Curwen’s net income is different than net cash flow from operating activities. Which of the following could possibly be the reason for such difference? Because depreciation expense which has no effect on cash flows from operating activities. Changes in current operating assets and…

Fitz Company reports the following information. Selected Annual Income Statement Data Net income Depreciation expense Amortization expense Gain on sale of plant assets Cash flows from operating activities Selected Year-End Balance Sheet Data $373,000 Accounts receivable decrease 45,600 Inventory decrease 7,900 Prepaid expenses increase 6,400 Accounts payable decrease Salaries payable increase Use the indirect method to prepare the operating activities section of its statement of cash flows for the year ended December 31. Note: Amounts to be deducted should be indicated with a minus sign. Statement of Cash Flows (partial) Changes in current operating assets and liabilities Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash $ 95,500 46,000 5,900 9,500 1,900

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Cash Flows from (Used for) Operating Activities The income statement disclosed the following items for the year: Depreciation expense Gain on disposal of equipment Net income The changes in the current asset and liability accounts for the year are as follows: Accounts receivable Inventory Prepaid insurance Accounts payable Income taxes payable Dividends payable Increase (Decrease) $5,190 (2,950) (1,110) (3,520) 1,110 780 $33,300 19,440 225,100 a. Prepare the Cash Flows from (used for) Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments. Statement of Cash Flows (partial) Cash flows from (used for) operating activities: 27 Adjustments to reconcile net income to net cash flows from (used for) operating activities: Changes in current operating assets and liabilities: Net cash flows from operating activities b. Why is net cash flows from operating…