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Campbell Brands, Inc., presents its statement of cash flows using the Indirect method. The following accounts and corresponding balances were drawn from Campbell's Year 2

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Campbell Brands, Inc., presents its statement of cash flows using the Indirect method. The following accounts and corresponding balances were drawn from Campbell's Year 2 and Year 1 year-end balance sheets Account Title Accounts receivable Merchandise inventory Prepaid insurance Accounts payable Salaries payable Unearned service revenue Year 2 $23,400 59,600 18,500 25,900 4,950 850 Year 1 $28,300 51,100 25,900 17,000 4,000 2,750 The Year 2 income statement is shown below. Income Statement Sales Cost of goods sold Gross margin Service revenue Insurance expense Salaries expense Depreciation expense Operating Income Gain on sale of equipment Net Income $ 611,000 (380,000) 231,000 5,600 (39,000) (143,600) (4.700 49,900 3.400 5 53,300 Required o. Prepare the operating activities section of the statement of cash flows using the direct method b. Prepare the operating activities section of the statement of cash flows using the indirect method Complete this question by entering your answers in the tabs below. Required A Required 8 Prepare the operating activities section of the statement of cash flows using the direct method. (Cash outflows should be indicated with minus sign.) CAMPBELL BRANDS, INC. Statement of Cash Flows (Operating Activities) For the Year Ended December 31, Year 2 Cash flows from operating activities Cash collections from customers for sales Cash collections from customers for services Cash payments for Net cash flow from operating activities $ 0 Required Required B Required A Required B Prepare the operating activities section of the statement of cash flows using the indirect method. should be indicated with a minus sign.) CAMPBELL BRANDS, INC. Statement of Cash Flows (Operating Activities) For the Year Ended December 31, Year 2 Cash flows from operating activities: Add Deduct Add: noncash expenses Net cash flow from operating activities Required A Required B

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