Exercise 11-45 (Algorithmic) Partial Statement of Cash Flows Service Company had net income during the current year of $104,000. The following information was obtained from the balance sheet of Service Company: Accounts receivable $24,300 increase Inventory 28,700 Increase 14,240 decrease Accounts payable Interest payable Accumulated depreciation, building Accumulated depreciation, equipment 3,180 Increase 12,340 increase 27,800 Increase Additional Information: 1. Equipment with accumulated depreciation of $15,000 was sold during the year. 2. Cash dividends of $36,000 were paid during the year. Required: Prepare the net cash flows from operating activities using the indirect method. Use a minus sign to indicate any decreases in cash or cash outflows. Service Company Net Cash Flows from Operating Activities Using Indirect Method Cash flows from operating activities: Adjustments to reconcile net income to net cash flow from operating activities: III. o POSTULOSIOWS Service Company had net income during the current year of $104,000. The following information was obtained from the balance sheet of Service Company Accounts receivable $24,300 increase Inventory 28,700 increase Accounts payable 14,240 decrease Interest payable 3,180 increase Accumulated depreciation, building 12,340 Increase Accumulated depreciation, equipment 27,800 increase Additional Information: 1. Equipment with accumulated depreciation of $15,000 was sold during the year. 2. Cash dividends of $36,000 were paid during the year. Required: Prepare the net cash flows from operating activities using the Indirect method. Use a minus sign to indicate any decreases in cash or cash outflows. Service Company Net Cash Flows from Operating Activities Using Indirect Method Cash flows from operating activities: Adjustments to reconcile net income to net cash flow from operating activities: Net cash provided by operating activities Service Company had net income during the current year of $104,000. The following information was obtained from the ba Accounts receivable $24,300 increase Inventory 28,700 increase Accounts payable 14,240 decrease Interest payable 3,180 increase Accumulated depreciation, building 12,340 increase Accumulated depreciation, equipment 27,800 increase Additional Information: 1. Equipment with accumulated depreciation of $15,000 was sold during the year. 2. Cash dividends of $36,000 were paid during the year. Required: Prepare the net cash flows from operating activities using the indirect method. Use a minus sign to indicate any decreases in Service Company Net Cash Flows from Operating Activities Using Indirect Method Cash flows from operating activities: Decrease in accounts payable income to net cash flow from operating activities: Depreciation expense, building Depreciation expense, equipment Increase in accounts receivable Increase in interest payable Net income Net cash provided by operating activities For SMU COSUTOWS Service Company had net income during the current year of $104,000. The following information was obtained from the bi Accounts receivable $24,300 increase Inventory 28,700 increase Accounts payable 14,240 decrease Interest payable 3,180 increase Accumulated depreciation, building 12,340 increase Accumulated depreciation, equipment 27,800 increase Additional Information: 1. Equipment with accumulated depreciation of $15,000 was sold during the year. 2. Cash dividends of $36,000 were paid during the year. Required: Prepare the net cash flows from operating activities using the indirect method. Use a minus sign to indicate any decreases in a Service Company Net Cash Flows from Operating Activities Using Indirect Method Cash flows from operating activities: Adjustments to reconcile net income to net cash flow from operating activities: Decrease in accounts receivable Decrease in interest payable Decrease in inventory Increase in accounts payable Increase in accounts receivable Net income Etivities od Service Company had net income during the current year of $104,000. The following information was obtained from thi Accounts receivable $24,300 increase Inventory 28,700 increase Accounts payable 14,240 decrease Interest payable 3,180 increase Accumulated depreciation, building 12,340 increase 27,800 increase Accumulated depreciation, equipment Additional Information: 1. Equipment with accumulated depreciation of $15,000 was sold during the year. 2. Cash dividends of $36,000 were paid during the year. Required: Prepare the net cash flows from operating activities using the indirect method. Use a minus sign to indicate any decreases Accumulated depreciation Service Company Cash Flows from Operating Activities Decrease in accounts receivable Using Indirect Method Decrease in interest payable Increase in accounts payable Increase in inventory come to net cash flow from operating activities: es: Net Income lllll Net cash provided by operating activities Service Company had net income during the current year of $104,000. The following information was obtained from the balance shee Accounts receivable $24,300 increase Inventory 28,700 increase Accounts payable 14,240 decrease Interest payable 3,180 increase Accumulated depreciation, building 12,340 increase Accumulated depreciation, equipment 27,800 increase Additional Information: 1. Equipment with accumulated depreciation of $15,000 was sold during the year. 2. Cash dividends of $36,000 were paid during the year. Required: Prepare the net cash flows from operating activities using the indirect method. Use a minus sign to indicate any decreases in cash or cash Service Company Cash Flows from Operating Activities Decrease in accounts payable Using Indirect Method Decrease in accounts receivable les: Decrease in interest payable Decrease in inventory come to net cash flow from operating activities: Increase in accounts payable Net income Net cash provided by operating activities Service Company had net income during the current year of $104,000. The following information was obtained from the balance sheet Accounts receivable $24,300 increase Inventory 28,700 increase Accounts payable 14,240 decrease Interest payable 3,180 Increase Accumulated depreciation, building 12,340 Increase Accumulated depreciation, equipment 27,800 increase Additional Information: 1. Equipment with accumulated depreciation of $15,000 was sold during the year. 2. Cash dividends of $36,000 were paid during the year. Required: Prepare the net cash flows from operating activities using the indirect method. Use a minus sign to indicate any decreases in cash or cash Service Company Net Cash Flows from Operating Activities Using Indirect Method Decrease in accounts receivable Decrease in interest payable Decrease in inventory come to net cash flow from operating activities: Increase in accounts payable Increase in interest payable es: Net income Net cash provided by operating activities Service Company had net income during the current year of $104,000. The following information was obtained from the balance sheet on Accounts receivable $24,300 increase Inventory 28,700 increase Accounts payable 14,240 decrease Interest payable 3,180 increase Accumulated depreciation, building 12,340 increase Accumulated depreciation, equipment 27,800 increase Additional Information: 1. Equipment with accumulated depreciation of $15,000 was sold during the year. 2. Cash dividends of $36,000 were paid during the year. Required: Prepare the net cash flows from operating activities using the indirect method. Use a minus sign to indicate any decreases in cash or cash ou Service Company Net Cash Flows from Operating Activities Using Indirect Method Cash flows from operating activities: Decrease in accounts receivable Decrease in interest payable fome to net cash flow from operating activities: Decrease in inventory Depreciation expense, equipment Increase in accounts payable Net income llll Net cash provided by operating activities Dros Service Company had net income during the current year of $104,000. The following information was obtained from the balance she Accounts receivable $24,300 increase Inventory 28,700 increase Accounts payable 14,240 decrease Interest payable 3,180 Increase Accumulated depreciation, building 12,340 Increase Accumulated depreciation, equipment 27,800 increase Additional Information: 1. Equipment with accumulated depreciation of $15,000 was sold during the year. 2. Cash dividends of $36,000 were paid during the year. Required: Prepare the net cash flows from operating activities using the indirect method. Use a minus sign to indicate any decreases in cash or cas Service Company Net Cash Flows from Operating Activities Using Indirect Method Cash flows from operating activities: Accumulated depreciation come to net cash flow from operating activities: Decrease in accounts receivable Decrease in interest payable Depreciation expense, building Increase in accounts payable Net income Net cash provided by operating activities