Operating cash flows: direct method
belnap company has provided the following partial compara...
Mathematics, 13.07.2019 19:10 sarah192002
Operating cash flows: direct method
belnap company has provided the following partial comparative balance sheets and the income statement for 20x2.
belnap company
comparative balance sheets
at december 31, 20x1 and 20x2
20x1 20x2
current assets:
accounts receivable $140,000 $112,600
inventories 50,000 24,000
current liabilities:
accounts payable 120,000 95,000
belnap company
income statement
for the year ended december 31, 20x2
revenues $480,000
gain on sale of equipment 20,000
cost of goods sold (260,000)
depreciation expense (50,000)
interest expense (10,000)
net income $180,000
required:
compute operating cash flows using the direct method.
1.
Answers: 1
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