Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities:

-Cash Balance, December 31

-Cash Balance, January 1

-Cash Payments to Purchase Equipment

-Cash Proceeds from Bank Loan

-Decrease in Accounts Receivable

-Decrease in Inventory

-Decrease in Salaries and Wages Payable

-Depreciation

-Equipment Purchased

-Increase in Accounts Receivable

-Increase in Inventory

-Increase in Salaries and Wages Payable

-Obtained Bank Loan

-Paid Bank Loan

Cash Flows from Investing Activities:

-Cash Balance, December 31

-Cash Balance, January 1

-Cash Payments to Purchase Equipment

-Cash Proceeds from Bank Loan

-Decrease in Accounts Receivable

-Decrease in Inventory

-Decrease in Salaries and Wages Payable

-Depreciation

-Equipment Purchased

-Increase in Accounts Receivable

-Increase in Inventory

-Increase in Salaries and Wages Payable

-Obtained Bank Loan

-Paid Bank Loan

Cash Flows from Financing Activities:

-Cash Balance, December 31

-Cash Balance, January 1

-Cash Payments to Purchase Equipment

-Cash Proceeds from Bank Loan

-Decrease in Accounts Receivable

-Decrease in Inventory

-Decrease in Salaries and Wages Payable

-Depreciation

-Equipment Purchased

-Increase in Accounts Receivable

-Increase in Inventory

-Increase in Salaries and Wages Payable

-Obtained Bank Loan

-Paid Bank Loan

Swing It, Inc., was started several years ago by two tennis instructors. The company's comparative balance sheets and income statement follow, along with additional information Current Previous Year Year Balance Sheet at December 31 Cash Accounts Receivable $ 6,120 4,140 910 1,770 5,610 5,100 Accumulated Depreciation-Equipment 1,520)(1,260) Equipment $11,120 $ 9,750 Accounts Payable Salaries and Wages Payable Note Payable (long-term) Common Stock Retained Earnings $ 590 $1,100 750 500 5,100 3,4402,300 490 1,500 5,100 $11,120 $ 9,750 Income Statement Service Revenue Salaries and Wages Expense Depreciation Expense Income Tax Expense $37,700 35,200 260 1,100 Net Income $ 1,140 Additional Data a. Bought new tennis equipment for cash, $510 b. Borrowed $1,000 cash from the bank during the year. c. Accounts Payable includes only purchases of services made on credit for operating purposes Because there are no liability accounts relating to income tax, assume that this expense was fully paid in cash