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Need help as soon as possible! Thank you Chegg! 1a: The following accounts and corresponding balances were drawn from Jessy Companys Year 2 and Year

Need help as soon as possible! Thank you Chegg!

1a:

The following accounts and corresponding balances were drawn from Jessy Companys Year 2 and Year 1 year-end balance sheets.

Account Title Year 2 Year 1
Unearned revenue $ 6,950 $ 3,400
Prepaid rent 1,800 2,610

During the year, $75,000 of unearned revenue was recognized as having been earned. Rent expense for Year 2 was $34,500.

Required Prepare the operating activities section of the statement of cash flows assuming the direct approach is used. (Cash outflows should be indicated with minus sign.)

1b:

Jessy Company presents its statement of cash flows using the indirect method. The following accounts and corresponding balances were drawn from Jessy's Year 2 and Year 1 year-end balance sheets.

Account Title Year 2 Year 1
Accounts receivable $ 31,044 $ 37,253
Prepaid rent 1,379 1,207
Interest receivable 548 438
Accounts payable 9,484 11,381
Salaries payable 2,901 3,315
Unearned revenue 2,747 3,662

The income statement reported a $1,380 gain on the sale of equipment, an $690 loss on the sale of land, and $3,700 of depreciation expense. Net income for the period was $52,002.

Required Prepare the operating activities section of the statement of cash flows. (Amounts to be deducted should be indicated with minus sign.)

1c:

Jessy Company., recognized $8,900 of sales revenue on account and collected $5,500 of cash from accounts receivable. Further, Jessy recognized $4,300 of operating expenses on account and paid $2,400 cash as partial settlement of accounts payable.

Required

  1. Prepare the operating activities section of the statement of cash flows under the direct method.

  2. Prepare the operating activities section of the statement of cash flows under the indirect method.

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