Question 2 1 pts Services Inc. needs help calculating the cash flows for its 20X2 Statement of Cash Flows. Services provides you with the asset and liability section from the company's comparative balance sheet and the 20X2 income statement. All account balances provided have normal balances. 12/31/20X1 12/31/20X2 Cash $18.800 $17,700 Accounts receivable 34,000 33,000 Prepaid Advertising Expense 17.000 14,000 Prepaid Insurance Expense 8.000 10,000 Office Supplies 11,000 7.000 Service equipment 90,000 101,000 Office equipment 70,000 78,000 Accumulated depreciation 52,000 74,000 Accounts payable-FSC 3,000 5,000 Dividends Payable 32,000 Rent Payable 4,000 5,000 Salaries Payable 7,000 6,000 Utilities Payable 800 700 26,000 $340,000 Service Revenue Less: Operating Expense: Advertising Expense Salary Expense Depreciation Expense Office supplies expense Insurance Expense Miscellaneous Expense Rent Expense Utilities Expense Net Income $28,000 162,000 22,000 29,000 22,000 3,000 32,000 8.000 $306,000 $34,000 Understanding that all purchases of office supplies are made on account, from vendor FSC please select the answer choice below that shows the correct combined net cash outflow during 20X2 for the following two items: (i) cash paid for purchases of office supplies and (ii) cash paid for salaries. O $185,000 O $188,000 O $190,000 None of the answers provided are correct. O $186,000 O $187,000 Question 5 1 pts The following information is available to reconcile Serious Company's book balance of cash with its bank statement cash balance as of December 31, 20X5. A. The 12/31 cash balance according to the accounting records is $26,300. B. The company's December 31 daily cash receipt of $8,050 were placed in the bank's night depository on that date, but do not appear on the December 31st bank statement. C. Two checks, No. 1105 for $1,500 and No. 1108 for $800 were outstanding on the most recent Nov. 30th bank reconciliation. Check No. 1105 is listed with the December canceled checks but Check No 1108 is not. Check No. 1150 for $3,650 and Check No. 1156 for $250 both of which were written in December 20X5 are not among the canceled checks. D. When the December 20X5 checks are compared with entries in the accounting records, it is found that Check No. 1145 had been correctly drawn for $1,890 to pay the December rent but the clerk writing the check was distracted and erroneously entered check No. 1145 in the accounting records as $1,980. E. During the month of December, the bank issued 2 debit/credit memorandum and enclosed them with the bank's statement: memorandum #1 is for $375 in total and it dealt with an NSF check for $350 received from customer, Morrow Industries, in payment of its account. The bank assessed a $25 fee for processing the bad check ($350 + $25 = $375). Memorandum #2 shows a $15,280 collection made by the bank on behalf of Serious Company. The $15,280 represents the collection of a $15,000 short-term loan made by Serious Company to an employee who was experiencing hard times. Serious arranged for the employee to drop off their loan repayment plus interest at the bank. The $15,280 collected includes not only the interest paid by the employee but is net of a $20 bank service fee charged by the bank to handle the transaction. Requirements: Please consider the above information and prepare the company's December bank reconciliation. Select the answer below that shows the cash balance reported on the bank's December statement. $41,295 O None of the answers provided are correct. O $36,965 O $37.945 0 $41,115 O $37,715 O $37,145 Question 8 1 pts On March 10th, Seller Company sold goods on account to Buyer Company. The goods had an original cost to Seller of $18,000 and were shipped FOB Destination on March 14th with $400 of freight collect. The goods arrived at Buyer's facility on March 17th. Seller lists the goods in its catalog at a $35,000 price but was willing to offer Buyer a 20% trade discount. Additionally, Seller provided Buyer with payment terms of 2/10, n/30. Buyer returned $7,000 of merchandise on March 18th and on March 21st paid the balance owed to Seller. The returned merchandise had an original cost to Seller of $4,500. How much cash will Buyer pay Seller on 3/21? $20,580 None of the answer choices provided are correct. $20,180 $27,040 $20,980 $19,900