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What are the correct amounts? Power Corporation owns 75 percent of Surge Company's stock; no intercompany purchases or sales were made in 20x4. For the

What are the correct amounts?

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Power Corporation owns 75 percent of Surge Company's stock; no intercompany purchases or sales were made in 20x4. For the year, Power and Surge reported sales of $370,000 and $200,000 and cost of goods sold of $160,000 and $95,000, respectively. Power's inventory increased by $28,000, but Surge's decreased by $18,000. Power's accounts receivable increased by $27,000 and its accounts payable decreased by $14,000 during 20x4. Surge's accounts receivable decreased by $11,000 and its accounts payable increased by $6,000. Required: Assuming there were no other cash flows from operations, using the direct method of computing cash flows from operating activities, compute the following: 6 Answer is complete but not entirely correct. Cash received from customers $ 554,000 0 $ o 0. Cash ows from operating activities $ 268,000 9

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