Income Statement

For the Year Ended November $30,2022$

Sales revenue

$$7,502,400$

Cost of goods sold

Additional information:

Accounts receivable decreased $$385,200$ during the year, and inventory decreased $$390,800.$

Prepaid expenses increased $$182,800$ during the year.

Accounts payable to suppliers of inventory decreased $$341,000$ during the year.

Accrued expenses payable decreased $$109,800$ during the year.

Administrative expenses include depreciation expense of $$110,900.$

Prepare the operating activities section of the statement of cash flows using the direct method. $($Show amounts that decrease cash flow

with either $a-$ sign e$.$g$.-15,000$ or in parenthesis e$.$g$.(15,000).)$

LII COMPANY

Partial Statement of Cash Flows

November $30,2022$

Cash Flows from Operating Actlvitles

Cash Recelpts from Customers

cash payments:

For Operating Expenses