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3) Given below are a firm's: (1) cash flows from operating activities section of its cash flow statement for a year, and (2) income statement
3) Given below are a firm's: (1) cash flows from operating activities section of its cash flow statement for a year, and (2) income statement for the year. $ 23,000 Partial Cash Flow Statement Cash Flows from Operating Activities Net income Adjustments to reconcile income to operating cash flow. Depreciation. Decrease in accounts receivable Increase in inventory Increase in accounts payable Increase in wages payable Decrease in income taxes payable Total adjustments Net cash provided by operating activities $ 14,000 3,600 (4,000) 7,100 700 (400) 21,000 $ 44,000 Income Statement Sales $ 326,000 Expenses Cost of goods sold $ 191,000 Wage expense.. 60,000 Depreciation 14,000 Other expenses 25,000 290,000 Income before taxes 36,000 Income taxes 13,000 Net income 23.000 All inventory purchases and other expenses were incurred on account. A) T F Indicate whether the following statements are "True" or "False" by circling your answers below (each answer is worth 2 points): Cash collected from customers during the year amounted to $329,600 B) T F Cash paid to suppliers of goods and services (excluding wage payments) during the year amounted to $219,100. C) TF Cash paid to employees for wages during the year amounted to $59,300 D) TF Income tax payments during the year amounted to $13,400. E) TF Cash received from depreciation during the year amounted to $14,000
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