please show your work. can you also do the indirect and direct method.

age 2 Exhibit North Mountain Nursery, Inc.: Statement of Cash Flow Income Statement for the Year Ended December 31, 2006 Revenues Cost of merchandise sold Gross margin Operating expenses $2,181,250 1.110.600 1,070,650 Rent expense Utilities expense Phone expense 120,600 60,350 6.100 650.000 20,000 41.000 Salary and wage expense Depreciation expense Marketing expense Total operating expense Operating income Interest expense 898,050 172,600 2.000 163,600 Income before taxes 57 300 Income tax expense $ 106,300 Net income Source: All exhibits created by authon UVA-C 2259 Esh2 North Mountain Nursery, Inc.: Statement of Cash Flow Balance Sheet for the Year Ended December 31, 2005, and December 31, 2006 December 2005 Do 31.2006 Current Cash $45.000 700,000 $ 47,950 655.000 24.200 937.650 95.000 DOO 51.185. SENSO Accounts receivable Inventory Total current assets Equipment Total assets Current liabilities Accounts payable Utilities payable Salary and wages payable Income tax payable Total current liabilities Noncurrent liabilities: Loan payable Total liabilities Owners' equity Capital stock Retained earnings Total liabilities and owners' equiry Please do not copy or redistribute. Additional materials permissions@dardenbusinesspublishing.com for permissions 530,000 18.250 10,000 22 565,500 510,000 19.000 9.750 ZA100 545,850 1922.000 717,850 154.000 719,500 240,000 139.800 $1.097650 240.000 226,100 $1.185.600