PA15. LO 16.6 Use the following cash transactions relating to Lucknow Company to determine the cash flows from operating, using the direct method. Beginning cash balance $122,000 Collected from customers 33,000 Paid dividends to stockholders 3,000 Paid for interest on notes payable 4,750 Collected dividends from stock owned 3,500 Collected cash from sale of land 20,000 Paid principal payments on notes payable 12,000 Collected cash from issuance of stock 40,000 Paid suppliers for merchandise 29,400 Ending cash balance 169,350 Solution Cash Flow from Operating Activities (Direct Method): Collected from customers Paid for interest on notes payable Collected dividends from stock owned Paid suppliers for merchandise Net cash flows from operating activities