Hampton Company reports the following information for its recent calendar year. Income Statement Data Selected Year-End Balance Sheet Data Accounts receivable increase Sales Inventory decrease Expenses: Cost of goods sold Salaries expense Depreciation expense Net income $ 77,000 39,000 salaries payable increase 12,000 4,000 $ 22,000 $ 8,000 5,000 980 Required: Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be Indicated with a minus sign.)
Hampton Company reports the following information for its recent calendar year. Income Statement Data Selected Year-End Balance Sheet Data Accounts receivable increase Sales Inventory decrease Expenses: Cost of goods sold Salaries expense Depreciation expense Net income $ 77,000 39,000 salaries payable increase 12,000 4,000 $ 22,000 $ 8,000 5,000 980 Required: Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be Indicated with a minus sign.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Subject: acounting
Transcribed Image Text:Hampton Company reports the following information for its recent calendar year.
Selected Year-End Balance Sheet Data
Accounts receivable increase
Income Statement Data
Sales
Expenses:
Cost of goods sold
Salaries expense
Depreciation expense.
Net income
$ 77,000
Inventory decrease
39,000 Salaries payable increase
12,000
4,000
$ 22,000
Required:
Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be
Indicated with a minus sign.)
Statement of Cash Flows (partial)
Cash flows from operating activities-indirect method
Adjustments to reconcile net income to net cash provided by operating activities
Income statement items not affecting cash
Changes in current operating assets and liabilities
S
$ 8,000
5,000
988
0
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