A- REQUIRED DIRECT CASHFLOW

PROBLEM 7-5 Preparing the Statement of Cash Flows (Direct) Using the income statement and balance sheets of Niagara Company below, prepare a statement of cash flows for the year ended December 31, Year 9, using the direct method. Use IFRS or Mexican IFS. NIAGARA COMPANY Income Statement For Year Ended December 31, Year 9 Sales ... Cost of goods sold. Depreciation expense Sales and general expense . Interest expense . Income tax expense Net income. 1,750 -1,137 -175 -175 -88 -70 105 NIAGARA COMPANY Balance Sheets December 31, Year 9 and Year 8 NIAGARA COMPANY Balance Sheets December 31, Year 9 and Year 8 Year 9 Year 8 Assets Cash ..... Accounts receivable, net. Inventory. Current assets . Fixed assets, net . Total assets. 105 910 1,348 2,363 962 3,325 87 875 1,313 2,275 875 3,150 131 1,076 35 Liabilities and Equity Notes payable to banks ..... Accounts payable Interest payable. Current liabilities. Long-term debt Deferred income tax. Capital stock... Retained earnings . Total liabilities and equity ... 1,242 613 542 700 228 3,325 175 1,033 17 1,225 525 525 700 175 3,150