E12-5 Understanding the Computation of Cash Flows from Operating Activities (Indirect Method) [LO 12- [The following information applies to the questions displayed below.). Suppose your company sells goods for $420, of which $260 is received in cash and $160 is on account. The goods cost your company $149 and were paid for in a previous period. Your company also recorded salaries and wages of $130, of which only $42 has been paid in cash. E12-5 Part 1 Required: 1. Prepare the journal entries to record these transactions. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)