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Selected information from Blossom Ltd's statement of financial position and statement of income is as follows: BLOSSOM LTD. Statement of Financial Position (partial) December
Selected information from Blossom Ltd's statement of financial position and statement of income is as follows: BLOSSOM LTD. Statement of Financial Position (partial) December 31 2021 2020 Current assets Accounts receivable $7,700 $12,600 Inventory 7,000 4,800 Prepaid expenses 4,800 2,000 Current liabilities Accounts payable 4,100 2.500 Income tax payable 1,100 900 Property tax payable 3,000 1.150 BLOSSOMLTD. Statement of Income Year Ended December 31, 2021 Sales $205,000 Cost of goods sold 114,000 Gross profit 91,000 Operating expenses 50,000 Income from operations 41,000 Interest expense 1,000 Income before income tax 40,000 Income tax expense 3,000 Net income $37.000 Additional information: 1 The bank loan was received in the past to finance the purchase of equipment. 2 Operating expenses included depreciation expense of $11,900 and a loss of $5,600 on the disposal of equipment. Prepare the operating activities section of the statement of cash flows, using the indirect method. (Show amounts that decrease cash flow with either a-sign eg.-15,000 or in parenthesis e.g. (15,000).) Prepare the operating activities section of the statement of cash flows, using the indirect method. (Show amounts that decrease cash flow with either e-signeg-15,000 or in parenthesis eg: (15,000)) BLOSSOM LTD. Statement of Cash Flows (Partial) Year Ended December 31, 2021 Operating activities Adjustments to reconcile net income to > > > >> eTextbook and Media >
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