es Alfonza Incorporated presents its statement of cash flows using the indirect method. The following accounts and corresponding balances were drawn from the company's Year 2 and Year 1 year-end balance sheets: Account Title Accounts receivable Year 1 $ 17,200 10,200 Accounts payable The Year 2 income statement showed net income of $28,400. Required a. Prepare the operating activities section of the statement of cash flows. Note: Amounts to be deducted should be indicated with a minus sign. Cash flows from operating activities: Year 2 $ 15,100 8,550 Net cash flow from operating activities
es Alfonza Incorporated presents its statement of cash flows using the indirect method. The following accounts and corresponding balances were drawn from the company's Year 2 and Year 1 year-end balance sheets: Account Title Accounts receivable Year 1 $ 17,200 10,200 Accounts payable The Year 2 income statement showed net income of $28,400. Required a. Prepare the operating activities section of the statement of cash flows. Note: Amounts to be deducted should be indicated with a minus sign. Cash flows from operating activities: Year 2 $ 15,100 8,550 Net cash flow from operating activities
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Alfonza Incorporated presents its statement of cash flows using the indirect method. The following accounts and
corresponding balances were drawn from the company's Year 2 and Year 1 year-end balance sheets:
Account Title
Accounts receivable
Year 1
$ 17,200
10,200
Accounts payable
The Year 2 income statement showed net income of $28,400.
Required
a. Prepare the operating activities section of the statement of cash flows.
Note: Amounts to be deducted should be indicated with a minus sign.
Cash flows from operating activities:
Year 2
$ 15,100
8,550
Net cash flow from operating activities
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