Problem 17-04A (Video)

The income statement of Whitlock Company is presented here.

WHITLOCK COMPANY Income Statement For the Year Ended November 30, 2020
Sales revenue				$7,425,000
Cost of goods sold
Beginning inventory		$1,833,800
Purchases		4,408,000
Goods available for sale		6,241,800
Ending inventory		1,381,900
Total cost of goods sold				4,859,900
Gross profit				2,565,100
Operating expenses				1,006,500
Net income				$1,558,600

Additional information:

1.		Accounts receivable increased $205,000 during the year, and inventory decreased $451,900.
2.		Prepaid expenses increased $177,600 during the year.
3.		Accounts payable to suppliers of merchandise decreased $331,100 during the year.
4.		Accrued expenses payable decreased $103,500 during the year.
5.		Operating expenses include depreciation expense of $84,700.

Prepare the operating activities section of the statement of cash flows using the direct method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

WHITLOCK COMPANY Partial Statement of Cash Flows For the Year Ended November 30, 2020November 30, 2020For the Month Ended November 30, 2020
Cash at Beginning of PeriodCash at End of PeriodCash Flows from Financing ActivitiesCash Flows from Investing ActivitiesCash Flows from Operating ActivitiesNet Cash Provided by Financing ActivitiesNet Cash Provided by Investing ActivitiesNet Cash Provided by Operating ActivitiesNet Cash Used by Financing ActivitiesNet Cash Used by Investing ActivitiesNet Cash Used by Operating ActivitiesNet Decrease in CashNet Increase in Cash
For Salaries and Wages To Suppliers For Income Taxes For Operating Expenses Cash Receipts from Dividend Revenue Cash Receipts from Customers		$
AddLess cash payments:
For Salaries and Wages For Income Taxes To Suppliers Cash Receipts from Customers Cash Receipts from Dividend Revenue For Operating Expenses	$
To Suppliers For Income Taxes For Operating Expenses Cash Receipts from Dividend Revenue For Salaries and Wages Cash Receipts from Customers
Cash at Beginning of Period Cash at End of Period Cash Flows from Financing Activities Cash Flows from Investing Activities Cash Flows from Operating Activities Net Cash Provided by Financing Activities Net Cash Provided by Investing Activities Net Cash Provided by Operating Activities Net Cash Used by Financing Activities Net Cash Used by Investing Activities Net Cash Used by Operating Activities Net Decrease in Cash Net Increase in Cash		$