Power Corporation owns 75 percent of Surge Companys stock; no intercompany purchases or sales were made in 20X4. For the year, Power and Surge reported sales of $330,000 and $230,000 and cost of goods sold of $170,000 and $109,250, respectively. Powers inventory increased by $32,000, but Surges decreased by $13,000. Powers accounts receivable increased by $16,000 and its accounts payable decreased by $11,000 during 20X4. Surges accounts receivable decreased by $9,000 and its accounts payable increased by $6,000.

Required: Assuming there were no other cash flows from operations, using the direct method of computing cash flows from operating activities, compute the following:

a) Cash received from customers

b) Cash payments to suppliers

c) Cash flows from operating activities