Transactions Year 1 Year 2

1. Buy inventories on credit 55.00 62.00

2. Pay suppliers in cash 37.00 59.00

3. Incur COGS expense 41.00 53.00

4. Earn revenue in cash for the inventory sold 58.00 69.00

Y1_1 Y1_2 Y1_3 Y1_4 Y1_Sum Y2_1 Y2_2 Y2_3 Y2_4 Y2_Sum Changes in Balance Sheet Cash Inventories Accounts payables Income Statement Sales COGS Indirect Cash Flow Statement (Change) in inventories Change in accounts payables Direct Operating Cash Flow Statement Cash received from customers Cash (paid) to suppliers (Put minus sign (-) before a number to be subtracted]