eBook (Appendix 11A) Preparing Net Cash Flows from Operating Activities-Direct Method Colassard Industries has the following data available for preparation of its statement of cash flows: Sales revenue $358,200 Inventory, increase $5,710 Cost of goods sold 182,500 Prepaid insurance, increase 2,100 Wages expense 58,400 Accounts payable, increase 5,680 Insurance expense Interest expense Income taxes expense Accounts receivable, decrease 8,300 Notes payable, increase 20,800 Interest payable, increase 16,840 Wages payable, decrease 14,300 32,000 3,125 5,400 Required: Prepare the cash flows from operating activities section of the statement of cash flows, using the direct method. Use a minus si Colassard Industries Statement of Cash Flows (Partial) Using Direct Method Cash flows from operating activities: Cash collected from customers Cash paid to suppliers Cash payments to employees Cash payments for insurance Cost of goods sold. Wages expense Insurance expense Interest expense Income taxes expense 182,500 Prepaid insurance, increase 58,400 Accounts payable, increase 8,300 Notes payable, increase 20,800 Interest payable, increase 16,840 Wages payable, decrease 2,100. 5,680 1 32,000 3,125 5,400 Accounts receivable, decrease 14,300 Required: Prepare the cash flows from operating activities section of the statement of cash flows, using the direct method. Use a minus sign to indicate any decreases in cash or cash outflows. Colassard Industries Statement of Cash Flows (Partial) Using Direct Method Cash flows from operating activities: Cash collected from customers Cash paid to suppliers Cash payments to employees Cash payments for insurance Cash payments for interest Cash payments for income taxes Net cash provided by operating activities