Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Please fine Cost of Goods Sold and Net Income as i have found the other inputs Problem 21-10 (Algo) Relationship between the income statement and
Please fine Cost of Goods Sold and Net Income as i have found the other inputs Problem 21-10 (Algo) Relationship between the income statement and cash flows from operating activities (direct method and indirect method) [LO 21-3, 21-4) The following schedule relates the income statement with cash flows from operating activities, derived by both the direct and indirect methods. Some elements necessary to complete the schedule are missing, Required: Complete the schedule by determining each of the following missing elements (Amounts to be deducted should be indicated with a minus sign.) Answer is not complete. Income Statement Direct Method $ 318 Sales Gain on sale of equipment Cash received from customers (Not reported no cash effect) Cash flows from Operating Activities Indirect Method Net income Adjustments $ 311 Decrease in accounts receivable 7 25 Gain on sale of equipment (25) Increase in inventory (13) Increase in accounts payable 19 (44) Increase in sales payable 7 (10) Depreciation expense 10 (14) Decrease in bond discount 4 (23) Decrease in prepaid insurance 10 (7) Loss on sale of land 7 (29) Increase in income tax payable Net cash flows from operating activities $ 61 (175) Cost of goods sold Salaries expense Depreciation expense Interest expense Insurance expense Loss on sale of land Income tax expense Net Income (37) 0 Cash paid to suppliers Cash paid to employees Cash paid for depreciation Cash paid for interest Cash paid for insurance (Not reported no cash effect) Cash paid for income taxes Net cash flows from operating activities (10) (13) (22) 61 $
Please fine Cost of Goods Sold and Net Income as i have found the other inputs
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started