169. Use the following income statement and information about selected current assets and current liabilities to calculate the net cash provided or used by operating activities using the indirect method.
PULLMAN COMPANY
Income Statement
For Year Ended December 31, 2015
Sales............................
$180,000
Cost of goods sold...................
104,000
Gross profit from sales................
$ 76,000
Operating expenses:
Salaries and wages expense...........
$25,000
Depreciation expense...............
7,000
Rent expense....................
7,200
Interest expense..................
1,900
41,100
Income from operations...............
$34,900
Loss on sale of land..................
3,500
Net income.......................
$31,400
Selected beginning and ending balances of current asset and current liability accounts, all of which relate to operating activities, are as follows:
Balance
Dec. 31, 2015
Dec. 31, 2014
Accounts receivable..................
$27,600
$24,000
Merchandise inventory...............
22,300
20,000
Prepaid rent.......................
550
400
Accounts payable...................
27,100
26,000
Salaries and wages payable.............
10,400
9,000
Interest payable....................
300
250
Already registered? Login
Not Account? Sign up
Enter your email address to reset your password
Back to Login? Click here