Pure Life Corporation has just finished preparing a consolidated balance sheet, income statement, and statement of changes in retained earnings for 20X9. The following items are proposed for inclusion in the consolidated cash flow statement:

Decrease in accounts receivable	$	15,000
Increase in accounts payable		18,000
Increase in inventory		20,000
Increase in bonds payable		50,000
Equipment purchased		200,000
Common stock repurchased		40,000
Depreciation reported for current period		50,000
Gain recorded on sale of equipment		12,000
Book value of equipment sold		58,000
Goodwill impairment loss		12,000
Sales		800,000
Cost of goods sold		350,000
Dividends paid by parent		45,000
Dividends paid by subsidiary		20,000
Consolidated net income for the year		400,000
Income assigned to the noncontrolling interest		20,000

22) Based on the preceding information, assuming that Pure Life uses the direct method of computing cash flows from operating activities, what amount will be reported by the company as cash received from customers during the year?

A) $815,000

B) $785,000

C) $800,000

D) $835,000

Answer: A

23) Based on the preceding information, assuming that Pure Life uses the direct method of computing cash flows from operating activities, what amount will be reported by the company as cash payments to suppliers for 20X9?

A) $350,000

B) $348,000

C) $312,000

D) $352,000

Answer: D

Please explain how to get these numbers! Thank you!