Lansing Company's current-year income statement and selected balance sheet data at December 31 of the current and prior years follow. LANSING COMPANY Income Statement For Current Year Ended December 31 Sales revenue $ 130,200 Expenses Cost of goods sold Depreciation expense Salaries expense Rent expense Insurance expense Interest expense Utilities expense 53,000 17,500 29,000 10,100 4,900 4,700 3,900 Net income %24 7,100 LANSING COMPANY Selected Balance Sheet Accounts At December 31 Current Year Prior Year $ 6,700 $ 8,000 2,090 Accounts receivable Inventory Accounts payable Salaries payable Utilities payable Prepaid insurance Prepaid rent 3,080 5,500 1,100 6,800 810 440 270 370 500 440 290 Required: Prepare the operating activities section of the statement of cash flows using the indirect method for the current year. (Amounts to be deducted should be indicated with a minus sign.)

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Lansing Company's current-year income statement and selected balance sheet data at December 31 of
the current and prior years follow.
LANSING COMPANY
Income Statement
For Current Year Ended December 31
Sales revenue
$ 130,200
Expenses
Cost of goods sold
Depreciation expense
Salaries expense
Rent expense
Insurance expense
Interest expense
Utilities expense
53,000
17,500
29,000
10,100
4,900
4,700
3,900
Net income
$
7,100
LANSING COMPANY
Selected Balance Sheet Accounts
At December 31
Current Year
Prior Year
Accounts receivable
$ 6,700
$ 8,000
Inventory
Accounts payable
Salaries payable
Utilities payable
Prepaid insurance
Prepaid rent
3,080
5,500
2,090
6,800
1,100
810
440
270
370
500
440
290
Required:
Prepare the operating activities section of the statement of cash flows using the indirect method for
the current year. (Amounts to be deducted should be indicated with a minus sign.)
Transcribed Image Text:Lansing Company's current-year income statement and selected balance sheet data at December 31 of the current and prior years follow. LANSING COMPANY Income Statement For Current Year Ended December 31 Sales revenue $ 130,200 Expenses Cost of goods sold Depreciation expense Salaries expense Rent expense Insurance expense Interest expense Utilities expense 53,000 17,500 29,000 10,100 4,900 4,700 3,900 Net income $ 7,100 LANSING COMPANY Selected Balance Sheet Accounts At December 31 Current Year Prior Year Accounts receivable $ 6,700 $ 8,000 Inventory Accounts payable Salaries payable Utilities payable Prepaid insurance Prepaid rent 3,080 5,500 2,090 6,800 1,100 810 440 270 370 500 440 290 Required: Prepare the operating activities section of the statement of cash flows using the indirect method for the current year. (Amounts to be deducted should be indicated with a minus sign.)
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