# All from merchandise punch Asales are credit des All credits to accounts receivable are receipts from d. All debits to accounts payable result from payment for Problem 16-9A Preparing the statement of cash flows indirect met 100 c. All other expenses are cash expenses CHECK FIGURE Net cash inflows from financing activities Lock&key Inc. began operations on January 1, 2019. 1 post closbe U is shown below along with some other information, Lock & Key Ine Income Statement For You Ended December 31, 2020 (000) Pen. 2020 3,300 2,520 280 3019 Coolpood old 660 Acco Cash Receiver Merchandise Property blant and Accumbed depreciation Accounts payable Accrued abilities Bonds payable Common shares Retained earnings 240 Our expenses Depreciation expense 900 120 2.100 AG 2040 2200 720 NAD 30 1440 1.000 200 360 1.680 11100 3.000 2.000 2.135 2.200 Other information regarding Lock & Key Inc, and its activities during 2020: t. Assume all accounts have normal balances. 2 cash dividends were declared and paid during the year. 1 Equipment was sold for cash equal to its book value. Required Using the information provided, prepare a statement of cash flows (applying the indirect method) for the year ended December 31, 2020. Analysis Component: Assume that the investing activities section of the statement of cash flows showed a het cash outflow of $14 (thousand). What could this represent? Is a net cash outflow from investing activities necessarily favourable or unfavourable? Explain. Problem 16-10A Preparing the statement of cash flows (direct method) LO7 CHECK FIGURE Net cash outflow from operating activities = $60 (thousand) Required Refer to the information in Problem 16-9A. Prepare a statement of cash flows for 2020 using the dinct method to report cash inflows and outflows from operating activities. Help Me SOLVEIT Other information: 1. All accounts payable balances result from merchandise purchases. All sales are credit sales. All credits to accounts receivable are receipts from customers. 1089