Required: Prepare the operating activities section of the statement of cash flows for Peach Computer using the direct method. (Amounts to be deducted should be indicated with a minus sign.) PEACH COMPUTER Statement of Cash Flows (partial) For the Year Ended December 31, 2024 Cash flows from operating activities Net cash flows from operating activities $ 0
Required: Prepare the operating activities section of the statement of cash flows for Peach Computer using the direct method. (Amounts to be deducted should be indicated with a minus sign.) PEACH COMPUTER Statement of Cash Flows (partial) For the Year Ended December 31, 2024 Cash flows from operating activities Net cash flows from operating activities $ 0
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter12A: The Statement Of Cash Flows
Section: Chapter Questions
Problem 4P
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Question
Portions of the financial statements for Peach Computer are provided below.
PEACH COMPUTER | ||
Income Statement | ||
For the year ended December 31, 2024 | ||
Net sales | $1,625,000 | |
---|---|---|
Expenses: | ||
Cost of goods sold | $980,000 | |
Operating expenses | 490,000 | |
43,000 | ||
Income tax expense | 33,000 | |
Total expenses | 1,546,000 | |
Net income | $79,000 |
PEACH COMPUTER | ||||
Selected Balance Sheet Data | ||||
December 31 | ||||
2024 | 2023 | Increase (I) or Decrease (D) | ||
---|---|---|---|---|
Cash | $95,000 | $81,500 | $13,500 | (I) |
Accounts receivable | 46,700 | 52,500 | 5,800 | (D) |
Inventory | 68,000 | 51,500 | 16,500 | (I) |
Prepaid rent | 2,300 | 3,600 | 1,300 | (D) |
Accounts payable | 38,000 | 33,500 | 4,500 | (I) |
Income tax payable | 4,300 | 6,500 | 2,200 | (D) |
Required:
Prepare the operating activities section of the statement of cash flows for Peach Computer using the direct method. (Amounts to be deducted should be indicated with a minus sign.)
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