acc MMega Screens, Inc., reports net sales of $2,650,000, cost of goods sold of $1,450,000, and income tax expense of $139,000 for theyear ended December 31, 2021. Selected balance sheet accounts are as follows:ancesMEGA SCREENS, INC.Selected Balance Sheet DataDecember 31CashAccounts receivableInventoryAccounts payableIncome tax payable2021$144,500274,000119, seeCash received from customersCash paid to suppliersCash paid for income taxes2020$184,000224,500154,000126,000114,50019,500 14,900Increase (1)orDecrease (D)$39,500 (D)49,500 (1)34,500 (D)11,500 (D)4,600 (1)Required:Calculate cash received from customers, cash paid to suppliers, and cash paid for income taxes.

Lets understand the basics.For calculating requirements we need to use below formula.Cash received…

Mega Screens, Inc., reports net sales of $2,650,000, cost of goods sold of $1,450,000, and income tax expense of $139,000 for the year ended December 31, 2021. Selected balance sheet accounts are as follows: MEGA SCREENS, INC. Selected Balance Sheet Data December 31 Cash Accounts receivable Inventory Accounts payable Income tax payable 2020 2021 $144,500 $184,000 274,000 224,500 119,500 154,000 114,500 126,000 19,500 14,900 Increase (1) or Decrease (D) $39,500 (D) 49,500 (1) 34,500 (0) 11,500 (0) 4,600 (1)