Seaforce Manufacturing Inc. Income Statement Year Ended December 31, 20X5 Sale Cost of goods sold Gross Profit Operating Expenses Loss on Sale of equipment Profit from Operations Other expenses Interest Expense Profit before Income Tax Income Tax Expense Profit $340,000 $250,100 $ 89,900 $55,000 $ 2,500 $ 57,500 $ 32,400 $ 3,500 $ 28,900 $ 12,000 $ 16,900 Additional Information: 1. Operating expenses include depreciation expense of $10,000 2. Accounts Payable related to the purchase of inventory 3. Equipment that cost $12,500 was sold at a loss of $2,500 4. New equipment was purchased during the year for $8,500 5. Dividends declared and paid in 20X5 totaled $3,000 6. Common shares were sold for $12,000 cash 7. Interest payable in 20X5 was $800 greater than interest payable in 20X4 8. The company uses IFRS and do not treat dividends as part of operations Seaforce Manufacturing Inc. comparative balance sheet at December 31 20X5 Cash Accounts Receivable Inventory Prepaid Expenses Equipment Accumulated Depreciation Total Assets Account Payable - equipment 20X5 $ 6,450 20X4 $ $ 72,000 $110,250 $ 1,750 $ 96,000 $(50,000) $236,450 $ 16,230 4,100 $ 6,500 $140,000 $ 1,020 $100,000 $(42,000) $209,620 $ 9,900 Account Payable Interest Payable $ 16,230 $ $ 9,900 810 $ 10 Income taxes payable $ 10,800 $ 9,500 Dividends Payable $ 1,800 $ 2,800 Long-term Notes Payable $ 54,500 $ 62,000 Common shares $135,000 $123,000 Retained Earnings $ 16,310 Total Liabilities & Shareholders' Equity $236,450 $ 2,410 $209,620 What was the total Cash Receipts from Customers when the direct method is used to prepare the cash flow statement? Multiple Choice $340,000 None of the other alternatives are correct $219,500 $250,100 $274,500 D