Exercise 12-3 (Algo) Indirect: Reporting cash flows from operations LO P2 Arundel Company disclosed the following information for its recent calendar year. Income Statement Data Revenues Expenses: Selected Year-End Balance Sheet Data $115,000 Accounts receivable decrease Purchased a machine for cash 74,000 Salaries payable increase 31,000 Interest payable decrease 31,600 Salaries expense Ook Utilities expense Depreciation expense Interest expense 6,700 Net loss $ (28,300) int $ 29,000 23,000 25,000 13,000 int . ences Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows (partial) Cash flows from operating activities-indirect method Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities $ Check my work Exercise 12-5 (Algo) Indirect: Cash flows from operating activities LO P2 Fitz Company reports the following information. Selected Annual Income Statement Data Net income Depreciation expense Amortization expense Gain on sale of plant assets $ 403,000 Accounts receivable decrease 46,200 Inventory decrease Selected Year-End Balance Sheet Data $ 161,900 51,000 5,700 9,400 1,200 7,800 Prepaid expenses increase 6,300 Accounts payable decrease Salaries payable increase Use the indirect method to prepare the operating activities section of its statement of cash flows for the year ended December 31. (Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities QS 12-8 (Algo) Computing cash from asset sales LO P3 The following information is from Ellerby Company's comparative balance sheets. At December 31 Furniture Accumulated depreciation-Furniture Current Year $136,500 (90,200) Prior Year $ 190,500 (112,200) Check my work The current year income statement reports depreciation expense on furniture of $19,500. During the year, furniture costing $54,000 was sold for its book value on December 31, Current Year. Complete the general ledger accounts to calculate cash received from the sale of furniture. Furniture Beginning balance Ending Balance Beginning balance Ending Balance Accumulated Depreciation Cost Accumulated depreciation Book value (Cash received) QS 12-6 (Algo) Indirect: Computing cash from operations LO P2 MOSS COMPANY Income Statement For Year Ended December 31, 2021 Sales Cost of goods sold Gross profit Operating expenses (excluding depreciation) Depreciation expense. Income before taxes Income taxes expense Net income MOSS COMPANY Selected Balance Sheet Information At December 31 Current assets Cash Accounts receivable Inventory Current liabilities $ 540,000 341,600 198,400 124,500 41,000 32,900 11,400 $ 21,500 2021 2020 $ 87,150 $ 29,300 27,500 37,000 62,500 54,600 35,400 28,200 2,300 2,700 Accounts payable Income taxes payable Use the information above to calculate cash flows from operating activities using the indirect method. (Amounts to be deducted should be indicated by a minus sign.) Cash flows from operating activities: Answer is not complete. Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities $ 41,000 41,000 $ 41,000