142. Freedom Wireless reports operating expenses of $255,000. Operating expenses include both rent expense and salaries expense. Prepaid rent decreases during the year by $10,000 and salaries payable increases by $25,000. What is the cash paid for operating expenses during the year?
143. Wilson Electric reports income tax expense of $150,000. Income tax payable at the beginning and end of the year are $20,000 and $25,000, respectively. What is the cash paid for income taxes during the year?
144. Portions of the financial statements for Horizon Telecom are provided below.
Horizon Telecom
Income Statement
For the Year Ended December 31, 2015
Revenues
$610,000
Expenses:
Cost of goods sold
391,000
Operating expenses
120,000
Depreciation expense
32,000
Income tax expense
44,000
Total expenses
566,000
Net Income
$44,000
Selected Balance Sheet Data
December 31, 2015
Increase in accounts receivable
$ 6,000
Increase in inventory
13,000
Decrease in prepaid rent
9,000
Increase in operating expenses payable
5,000
Decrease in accounts payable
8,000
Increase in income tax payable
20,000
Prepare the operating activities section of the statement of cash flows for Horizon Telecom using thedirectmethod.
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