*E17.13 (LO 4), AP The 2022 accounting records of Megan Transport provide the following information. Instructions Payment of interest Cash sales $10,000 48,000 Payment of salaries and wages Depreciation expense $ 53,000 16,000 Receipt of dividend revenue 18,000 Proceeds from sale of vehicles 812,000 Payment of income taxes 12,000 Purchase of equipment for cash 22,000 Net income 38,000 Loss on sale of vehicles 3,000 Payment for merchandise 97,000 Payment of dividends 14,000 Payment for land 74,000 Payment of operating expenses 28,000 Collection of accounts receivable 195,000 Prepare the cash flows from operating activities section using the direct method. Calculate cash flows-direct method. *E17.14 (LO 4), AN The following information is taken from the 2022 general ledger of Preminger Company. Rent Rent expense $ 30,000 Prepaid rent, January 1 5,900 Prepaid rent, December 31 7,400 Salaries Salaries and wages expense $54,050 Sales Salaries and wages payable, January 1 Salaries and wages payable, December 31 Sales revenue 2,000 8,000 $160,000 Accounts receivable, January 1 16,000 Accounts receivable, December 31 7,000 Instructions In each case, compute the amount that should be reported in the operating activities section of the statement of cash flows under the direct method. Prepare a worksheet.
*E17.13 (LO 4), AP The 2022 accounting records of Megan Transport provide the following information. Instructions Payment of interest Cash sales $10,000 48,000 Payment of salaries and wages Depreciation expense $ 53,000 16,000 Receipt of dividend revenue 18,000 Proceeds from sale of vehicles 812,000 Payment of income taxes 12,000 Purchase of equipment for cash 22,000 Net income 38,000 Loss on sale of vehicles 3,000 Payment for merchandise 97,000 Payment of dividends 14,000 Payment for land 74,000 Payment of operating expenses 28,000 Collection of accounts receivable 195,000 Prepare the cash flows from operating activities section using the direct method. Calculate cash flows-direct method. *E17.14 (LO 4), AN The following information is taken from the 2022 general ledger of Preminger Company. Rent Rent expense $ 30,000 Prepaid rent, January 1 5,900 Prepaid rent, December 31 7,400 Salaries Salaries and wages expense $54,050 Sales Salaries and wages payable, January 1 Salaries and wages payable, December 31 Sales revenue 2,000 8,000 $160,000 Accounts receivable, January 1 16,000 Accounts receivable, December 31 7,000 Instructions In each case, compute the amount that should be reported in the operating activities section of the statement of cash flows under the direct method. Prepare a worksheet.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Transcribed Image Text:*E17.13 (LO 4), AP The 2022 accounting records of Megan Transport provide the following information.
Instructions
Payment of interest
Cash sales
$10,000
48,000
Payment of salaries and wages
Depreciation expense
$ 53,000
16,000
Receipt of dividend revenue
18,000
Proceeds from sale of vehicles
812,000
Payment of income taxes
12,000
Purchase of equipment for cash
22,000
Net income
38,000
Loss on sale of vehicles
3,000
Payment for merchandise
97,000
Payment of dividends
14,000
Payment for land
74,000
Payment of operating expenses
28,000
Collection of accounts receivable
195,000
Prepare the cash flows from operating activities section using the direct method.
Calculate cash flows-direct method.
*E17.14 (LO 4), AN The following information is taken from the 2022 general ledger of Preminger Company.
Rent
Rent expense
$ 30,000
Prepaid rent, January 1
5,900
Prepaid rent, December 31
7,400
Salaries Salaries and wages expense
$54,050
Sales
Salaries and wages payable, January 1
Salaries and wages payable, December 31
Sales revenue
2,000
8,000
$160,000
Accounts receivable, January 1
16,000
Accounts receivable, December 31
7,000
Instructions
In each case, compute the amount that should be reported in the operating activities section of the statement of cash flows
under the direct method.
Prepare a worksheet.
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