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Required information The following information applies to the questions displayed below.) Portions of the financial statements for Parnell Company are provided below. $ 770 ok
Required information The following information applies to the questions displayed below.) Portions of the financial statements for Parnell Company are provided below. $ 770 ok ok PARNELL COMPANY Income Statement For the Year Ended December 31, 2021 ($ in thousands) Revenues and gains: Sales $ 760 Gain on sale of building 10 Expenses and loss: Cost of goods sold $ 280 Salaries 116 Insurance Depreciation 119 Interest expense Loss on sale of equipment Income before tax Income tax expense Net income nces 13 610 160 $ 80 PARNELL COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2021 and 2020 ($ in thousands) Year PARNELL COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2021 and 2020 ($ in thousands) Year 2021 2020 Cash $ 130 $ 104 Accounts receivable 320 220 Inventory 325 421 Prepaid insurance 84 Accounts payable 206 121 Salaries payable 110 97 Deferred tax liability Bond discount 182 204 Change $ 26 100 (96) (14) 85 13 70 12 (22) Required: 1. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the direct method. (Enter your answers in thousands (.e., 10,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.) Cash Flows from Operating Activities: [The following information applies to the questions displayed below.) Portions of the financial statements for Parnell Company are provided below. $ 770 PARNELL COMPANY Income Statement For the Year Ended December 31, 2021 ($ in thousands) Revenues and gains: Sales $ 760 Gain on sale of building 10 Expenses and loss: Cost of goods sold $ 280 Salaries 116 Insurance Depreciation 119 Interest expense Loss on sale of equipment Income before tax Income tax expense Net income 36 46 13 610 160 80 S 80 PARNELL COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2021 and 2020 ($ in thousands) PARNELL COMPANY Selected Accounts from Comparative Balance Sheets December 31, 2021 and 2020 ($ in thousands) 2021 $ 130 320 Change $ 26 100 (96) 325 70 Cash Accounts receivable Inventory Prepaid insurance Accounts payable Salaries payable Deferred tax liability Bond discount 2020 $ 104 220 421 84 121 97 56 204 (14) 206 85 110 68 182 Required: 2. Prepare the cash flows from operating activities section of the statement of cash flows for Parnell Company using the indirect method. (Enter your answers in thousands (i.e., 10,000 should be entered as 10). Amounts to be deducted should be indicated with a minus sign.) Cash Flows from Operating Activities: Adjustments for noncash effects:
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