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Use the following income statement and information about changes in non-cash current assets and current liabilities to pre cash flows from operating activities using the

image text in transcribedimage text in transcribedimage text in transcribed Use the following income statement and information about changes in non-cash current assets and current liabilities to pre cash flows from operating activities using the indirect method. (List any loss, cash outflow or deduction in cash as negati amounts.) Eyelashes and More Co. Income Statement For Year Ended May 31, 2020 Sales $2,950 Cost of goods sold: 1,490 Gross profit $1,460 Operating expenses: Depreciation expense $ 235 Other expenses 1,240 Total operating expenses 1,475 Loss on sale of long-term investment 100 Profit (loss) from operations $ (115) e $ (115) Income tax expense Profit (loss) Changes in current asset and current liability accounts during the year were as follows. Accounts receivable $345 decrease Inventory Prepaid insurance Accounts payable Accrued liabilities 134 increase 16 increase 80 increase 45 decrease. Profit (loss) Adjustments EYELASHES AND MORE CO.. Statement of Cash Flows For Year Ended May 31, 2020 3:40 Income tax expense Profit (loss) 0 $ (115) Changes in current asset and current liability accounts during the year were Accounts receivable Inventory Prepaid insurance Accounts payable Accrued liabilities $345 decrease 134 increase 16 increase 80 increase 45 decrease Profit (loss) Adjustments EYELASHES AND MORE CO. Statement of Cash Flows For Year Ended May 31, 2020 Decrease in accounts payable Decrease in accounts receivab Decrease in accrued liabilities Decrease in prepaid insurance Accounts receivable Inventory Prepaid insurance Accounts payable Accrued liabilities $345 decrease 134 increase 16 increase 80 increase 45 decrease Profit (loss) Adjustments: EYELASHES AND MORE CO. Statement of Cash Flows For Year Ended May 31, 2020 Increase in accounts receivable Increase in accrued liabilities Increase in prepaid Insuran Inventory increase Loss on sale of long-term investment F3 F4 15 F6

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