9.39 FinancialAccounting_ISM_Ch16.... PA13 LO 16.6 Use the following excerpts from Fromera Company's financial information to prepare the operating section of the statement of cash flows (direct method) for the year 2018 Balance Cost of Goods Sold Operating Expenses her than depreciation expense Gain on Sale of Plant Amets 20 Dec 31, 2018 Accounts Receivable associated with Sales Inventory associated with Inventory Accounts Payable associated with Invertory Dec 2017 300 21250 Accounts Receivable associated with Sales Inventory associated with intory ACONES Payable associated with Inventory Accrued bested with Other speel Solution Fromera Company Cash Flow from Operating Activities (Direct Method Cash Flow from Operating Activities Cash Collected from Customers Cash Payments To suppliers of Inventory To vendors for Operating Expenses Net cash flows from operating activities Calculations to convert to cash basis: Cash Collected from Customers Beginning balance Accounts Receivable Accrual Basis Sales Potential Cash Collected Ending balance, Accounts Receivable Cash Collected from Customers this period Cash Paid for Inventory Purchase Part Ending balance, Inventory Cost of Goods Sold Goods Available for Sale Beginning balance, Inventory Inventory Purchased this period Cash Paid for Inventory Purchases Part 2 Beginning balance, Accounts Payable Inventory Purchased from Part I) Total Obligation to Pay Inventory Costs Ending balance, Accounts Payable Cash Paid for Inventory this period Cash Paid for Expense Related to a Current Liability Beginning balance, Accrued Liabilities Expense on Income Statement Total Obligation to Pay Salaries Ending balance, Accrued Liabilities Cash Paid for Other Expenses this period