Hampton Company reports the following information for its recent calendar year. Income Statement Data Selected Year-End Balance Sheet Data Sales $ 77,000 Accounts receivable increase $ 7,000 Expenses: Inventory decrease 3,000 Cost of goods sold 41,000 Salaries payable increase 800 Salaries expense 10,000 Depreciation expense 8,000 Net income $ 18,000 Required: Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.)
Hampton Company reports the following information for its recent calendar year. Income Statement Data Selected Year-End Balance Sheet Data Sales $ 77,000 Accounts receivable increase $ 7,000 Expenses: Inventory decrease 3,000 Cost of goods sold 41,000 Salaries payable increase 800 Salaries expense 10,000 Depreciation expense 8,000 Net income $ 18,000 Required: Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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1.2
Hampton Company reports the following information for its recent calendar year.
Income Statement Data | Selected Year-End |
||
Sales | $ 77,000 | $ 7,000 | |
Expenses: | Inventory decrease | 3,000 | |
Cost of goods sold | 41,000 | Salaries payable increase | 800 |
Salaries expense | 10,000 | ||
8,000 | |||
Net income | $ 18,000 |
Required:
Prepare the operating activities section of the statement of
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