2 (8 marks) Using the financial information from Question 1, prepare the operating section of the cash flow statement only using the direct method. In preparation, calculate (and ensure to show all calculations): a. Collections from customers b. Cash payments to suppliers c. Cash payment of income tax d. Cash payment of operating expenses Total-52 Question 2 (8 marks) Using the financial information from Question 1, prepare the operating section of the cash flow statement only using the direct method. In preparation, calculate (and ensure to show all calculations): a. Collections from customers b. Cash payments to suppliers c. Cash payment of income tax d. Cash payment of operating expenses I Question 1 (27 marks) Using the financial statements and the transactional data reported for Bryant Limited, prepare a statement of cash flows using the indirect method. Ensure to report any non-cash investing and financing activities. Bryant Limited Balance Sheet As at December 31, 2021 Assets 2021 2020 Cash Accounts receivable Inventory Long-term investments Property, Plant & Equipment (net) Total assets 5555SS $ 14,000 $ 8,000 $ 12,000 $ 9,500 $ 16,000 $ 14,000 $ 145,000 $ 95,500 $ 93,000 $ 84,000 $ 280,000 $ 211,000 Liabilities and Shareholders' Equity Liabilities Accounts payable 11,700 $ 15,000 Accrued liabilities 4,800 $ 2,000 Long-term notes payable $ 43,000 $ 51,000 Bonds payable $ 50,000 Total liabilities $ 109,500 $ 68,000 Shareholders' equity Common shares Retained earnings Total equity Total liabilities & equity 5555 21,000 $ 15,000 $ 149,500 $ 128,000 $ 170,500 $ 143,000 $ 280,000 $ 211,000 Income Statement For the Year Ended December 31, 2021 Sales Revenue $ 191,000 Cost of goods sold $ 75,000 Gross Margin $ 116,000 Operating expenses Administrative expenses $ 4,000 Depreciation expense $ 10,000 Other operating expenses $ 5,000 Salary expenses $ 42,000 Total operating expenses $ 61,000 Other items: Gain on sale of long term investme $ 500 Loss on sale of equipment $ 3,000 Income before income tax $ 53,500 Income tax expense $ 21,000 Net income $ 32,500 Transaction Data for 2021 Purchase of long term investment S 60,000 Proceeds on sale of long term investment (book value, $10,500) Purchase of equipment $ SS $ 12,000 35,000 Proceeds on sale of equipment (carrying amount, $16,000) Issuance of long term debt to borrow cash Dansumant of long term daht 555 13,000 $ 12,000 20.000 Transaction Data for 2021 Purchase of long term investment $ 60,000 Proceeds on sale of long term investment (book value, $10,500) Purchase of equipment SS $ 12,000 $ 35,000 Proceeds on sale of equipment (carrying amount, $16,000) $ 13,000 Issuance of long term debt to borrow cash $ 12,000 Repayment of long term debt $ 20,000 Issuance of bonds payable for cash 50,000 Issuance of common shares for cash $ 6,000 Payment of cash dividends $ 11,000 Company purchased $80,000 in Machinery in exchange for a 1 year, 6% note payable S 80,000