Instructions Comparative Balance Sheets Cash Flows from Operating Activities - Direct Method Shaded cells have feedback. X At December 31, 20X1 and 20X2 20X1 20X2 Compute operating cash flows using the direct method. (Note: Begin by entering the applicable income statement amounts. In Current assets: the Adjustments column, if an account has more than one adjustment, enter the total effect of all adjustments in the applicable cell. Use a minus sign to indicate a negative adjustment or a negative cash outflow.) Accounts receivable $347,000.00 $284,000.00 Inventories 121,000.00 148,000.00 Current liabilities: Tidwell Company Score: 9/63 Accounts payable 299,000.00 240,000.00 Cash Flows from Operating Activities, Direct Method For the Year Ended December 31, 20X2 Income Adjustments Cash Flows Statement Revenues Tidwell Company Gain on sale of equipment 0.00 Income Statement Cost of goods sold For the Year Ended December 31, 20X2 Depreciation expense 0.001 Revenues $1,210,000.00 Interest expense Gain on sale of equipment 50,000.00 Net income Cost of goods sold (647,000.00) Net cash from operating activities Depreciation expense (126,000.00) Interest expense (24,500.00) 6 Net income $462,500.00