Exercise 13-4 Selected information from Juno Ltd.'s statement of financial position and income statement is as follows: JUNO LTD. Statement of Financial Position (partial) December 31 2018 2017 Current assets Accounts receivable $7,000 $12,000 Inventory 5,900 4,500 Prepaid expenses 3,000 2,500 Current liabilities Accounts payable 3,750 2,500 Income tax payable 1,200 Accrued liabilities 2,500 1,500 Bank loan payable-current portion 5,000 10,000 800 JUNO LTD. Income Statement Year Ended December 31, 2018 Net sales $190,000 Cost of goods sold 114,000 Gross profit 76,000 Operating expenses 50,000 Income from operations 26,000 Interest expense 1,200 Income before income tax 24,800 Income tax expense 3,800 Cost of goods sold Gross profit Operating expenses Income from operations Interest expense Income before income tax Income tax expense Not income 114,000 76,000 50,000 26,000 1,200 24,800 3,800 $21,000 Additional information: The bank loan was issued to finance the purchase of equipment. Operating expenses included depreciation expense of $11,000 and a loss of $5,000 on the disposal of equipment. 2. Prepare the operating activities section of the statement of cash flows, using the indirect method. (Show amounts that decrease cash flow with either e.g. - 15,000 or in parenthesis e.g. (15,000).) JUNO LTD. Statement of Cash Flows (Partial)-Indirect Method Operating activities Adjustments to reconcile net income to JUINULID. Statement of Cash Flows (Partial)-Indirect Method Operating activities Adjustments to reconcile net income to $ $ vacy Policy