Santana Rey, owner of Business Solutions, decides to prepare a statement of cash flows for her business using the following financialdata.BUSINESS SOLUTIONSIncome StatementFor Three Months Ended March 31, 2022Computer services revenueNet salesTotal revenueCost of goods soldDepreciation expense-Office equipment55Depreciation expense-Computer equipmentWages expenseInsurance expenseRent expenseComputer supplies expenseAdvertising expenseMileage expenseRepairs expense-ComputerTotal expensesNet incomeAssetsCashAccounts receivableInventoryComputer suppliesPrepaid insurancePrepaid rentTotal current assets$ 24,90718,49343,400$ 14,4523801,1702,3504852,3751,21553029093024,177$ 19,223BUSINESS SOLUTIONSComparative Balance SheetsOffice equipmentAccumulated depreciation-Office equipmentComputer equipmentAccumulated depreciation-Computer equipmentTotal assetsLiabilities and EquityAccounts payableWages payableUnearned computer service revenueTotal current liabilitiesEquityCommon stockRetained earningsTotal liabilities and equityRequired:March 31, December 31,20222021$ 72,52724,167$ 53,1825,26865402,0155401,0801,645805805101,24861,4407,500(760)7,500(380)19,900(2,340)19,900(1,170)$ 125,548$ 09650965$ 87,290$ 1,1005302,2003,830102,00022,58376,0007,460$ 125,548$ 87,290Prepare a statement of cash flows for Business Solutions using the indirect method for the three months ended March 31, 2022.Owner Santana Rey contributed $26,000 to the business in exchange for additional stock in the first quarter of 2022 and has received$4,100 in cash dividends.Note: Amounts to be deducted should be indicated with a minus sign.

Name: Santana Rey, owner of Business Solutions, decides to prepare a statem
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Description: Santana Rey, owner of Business Solutions, decides to prepare a statement of cash flows for her business using the following financialdata.BUSINESS SOLUTIONSIncome StatementFor Three Months Ended March 31, 2022Computer services revenueNet salesTotal

A statement of cash flows is one of the financial statements that is prepared by the companies to…

Business

Accounting

Santana Rey, owner of Business Solutions, decides to prepare a statement of cash flows for her business using the following financial data. BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2022 Computer services revenue Net sales $ 24,907 18,493 Total revenue 43,400 Cost of goods sold $ 14,452 Depreciation expense-Office equipment 380 Depreciation expense-Computer equipment Wages expense Insurance expense Rent expense Computer supplies expense Advertising expense Mileage expense 1,170 2,350 485 2,375 1,215 530 290 Repairs expense-Computer Total expenses 930 24,177 Net income Assets Cash Accounts receivable Inventory Computer supplies Prepaid insurance Prepaid rent BUSINESS SOLUTIONS Comparative Balance Sheets $ 19,223 March 31, December 31, 2022 $ 72,527 2021 24,167 654 $ 53,182 5,268 2,015 1,080 805 101 249 540 1,645 805 440

Santana Rey, owner of Business Solutions, decides to prepare a statement of cash flows for her business using the following financial data. BUSINESS SOLUTIONS Income Statement For Three Months Ended March 31, 2022 Computer services revenue Net sales $ 24,907 18,493 Total revenue 43,400 Cost of goods sold $ 14,452 Depreciation expense-Office equipment 380 Depreciation expense-Computer equipment Wages expense Insurance expense Rent expense Computer supplies expense Advertising expense Mileage expense 1,170 2,350 485 2,375 1,215 530 290 Repairs expense-Computer Total expenses 930 24,177 Net income Assets Cash Accounts receivable Inventory Computer supplies Prepaid insurance Prepaid rent BUSINESS SOLUTIONS Comparative Balance Sheets $ 19,223 March 31, December 31, 2022 $ 72,527 2021 24,167 654 $ 53,182 5,268 2,015 1,080 805 101 249 540 1,645 805 440

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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