Brief Exercise 23-4

Bloom Corporation had the following 2017 income statement.

Sales revenue		$200,000
Cost of goods sold		120,000
Gross profit		80,000
Operating expenses (includes depreciation of $21,000)		50,000
Net income		$30,000

The following accounts increased during 2017: Accounts Receivable $12,000, Inventory $11,000, Accounts Payable $13,000. Prepare the cash flows from operating activities section of Blooms 2017 statement of cash flows using the direct method.

Bloom Corporation Statement of Cash Flows-Direct Method (Partial)