Serial Problem Business Solutions (Indirect) LO P1, P2, P3 Santana Rey, owner of Business Solutions, decides to prepare a statement of cash flows for her business using the following financia data. $24,807 17.993 42,800 320 BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2018 Computer services revenue Net sales Total revenue Cost of goods sold $14.552 Depreciation expense-office equipment Depreciation expense-Computer equipment 1.150 Wages expense 2,350 Insurance expense 515 Rent expense 2.075 Computer supplies expense 1.215 Advertising expenso Mileage expense 300 Repairs expense-Computer Total expenses Not income 18,893 BUSINESS SOLUTIONS Comparative Balance Sheets December 31, 2017, and March 31, 2018 Mar. 3 2018 Dec. 31. 2017 Prev 1 of 1 !!! Next Dec. 31, 2017 $52,482 5,568 6 BUSINESS SOLUTIONS Comparative Balance Sheets December 31, 2017, and March 31, 2018 Mar. 31, 2018 Assets Cash $ 78,997 Accounts receivable 23,967 Inventory Computer supplies Prepaid insurance Prepaid rent Total current assets office equipment Accumulated depreciation office equipment Computer equipment 1900 Accumulated depreciation Computer equipment (2,300 Total assets 132268 Liabilities and Equity Accounts payable Wages payable Une ained computer service revenue total current liabilities Equity Common stock 108,000 Retained earnings 22353 mouail liabilities and equity $132, 268 UN COMO NO mo 570 1,565 815 61,000 7,700 (320) 19,900 (1150) $87, 130 3.770 75,000 8,360 $87,130 Required: Total liabilities and equity $132,268 $87,130 Required: Prepare a statement of cash flows for Business Solutions using the indirect method for the three months ended March 31, 2018. Owne contributed $33,000 to the business in exchange for additional stock in the first quarter of 2018 and has received $3.90 In cash dividends. (Amounts to be deducted should be indicated with a minus sign.) BUSINESS SOLUTIONS Statement of Cash Flows (Indirect) For Quarter Ended March 31, 2018 Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activitie ILI Statement of Cash Flows (Indirect) For Quarter Ended March 31, 2018 Cash flows from operating activities Adjustments to reconcile net income to net cash provided by operating activities Cash flows from investing activities Net cash used in investing activities Cash flows from financing activities el |||| Cash flows from investing activities Net cash used in investing activities Cash flows from financing activities Cash balance at December 31, 2017 Cash balance at March 31, 2018
