Required information The Foundational 15 [LO14-1, L014-2] The following information applies to the questions displayed below. Ravenna Company is a merchandiser that uses the indirect method to prepare the operating activities section of its statement of cash flows. Its balance sheet for this year is as follows Ending Balance $ 105,400 Beginning Balance 126,650 90,200 112,400102,500 301,500319,350 287,000 71,750 198,000215,250 $ 534,600 Cash Accounts receivable Inventory Total current assets Property, plant, and equipment 83,700 297,000 99,000 Less accumulated depreciation Net property, plant, and equipment Total assets $ 499,500 $ 65,600 50,900 123,000 143,500 116,500 $ 499,500 Accounts payable Income taxes payable Bonds payable Common stock Retained earnings 116,500 68,600 102,500 123,000 124,000 $ 534,600 Total liabilities and stockholders' equity During the year, Ravenna paid a $12,300 cash dividend and it sold a piece of equipment for $6,150 that had originally cost $14,400 and had accumulated depreciation of $9,600. The company did not retire any bonds or repurchase any of its own common stock during the year Foundational 14-1 Required 1. What is the amount of the net increase or decrease in cash and cash equivalents that would be shown on the company's statement of cash flows? Net in cash and cash equivalents 3. How much depreciation would the company add to net income on its statement of cash flows? Depreciation Req 5A Req 5B What is the amount and direction(+or- of the accounts receivable adjustment to net income in the operating activities section of the statement of cash flows? Amount Req 5B Req 5A What does this adjustment represent? OCash collected from customers> Credit sales Ocash collected from customers Purchases Req 7B Cash paid to suppliers Cost of goods sold