Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Use the following information for the Problems below. Lansing Companys 2017 income statement and selected balance sheet data (for current assets and current liabilities) at
Use the following information for the Problems below.
Lansing Companys 2017 income statement and selected balance sheet data (for current assets and current liabilities) at December 31, 2016 and 2017, follow.
LANSING COMPANY Income Statement For Year Ended December 31, 2017 | ||||||
Sales revenue | $ | 148,200 | ||||
Expenses | ||||||
Cost of goods sold | 59,000 | |||||
Depreciation expense | 20,500 | |||||
Salaries expense | 35,000 | |||||
Rent expense | 10,700 | |||||
Insurance expense | 5,500 | |||||
Interest expense | 5,300 | |||||
Utilities expense | 4,500 | |||||
Net income | $ | 7,700 | ||||
LANSING COMPANY Selected Balance Sheet Accounts | ||||||
At December 31 | 2017 | 2016 | ||||
Accounts receivable | $ | 7,300 | $ | 9,200 | ||
Inventory | 3,680 | 2,390 | ||||
Accounts payable | 6,100 | 8,000 | ||||
Salaries payable | 1,220 | 870 | ||||
Utilities payable | 560 | 330 | ||||
Prepaid insurance | 430 | 620 | ||||
Prepaid rent | 560 | 350 | ||||
Problem 16-1A Indirect: Computing cash flows from operations LO P2
Required: Prepare the cash flows from operating activities section only of the companys 2017 statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.)
|
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started