Cash Flows from Operating Activities—Indirect Method
Staley Inc. reported the following data:
| Net income |
$329,200 |
| Depreciation expense |
58,300 |
| Loss on disposal of equipment |
23,700 |
| Increase in accounts receivable |
19,000 |
| Increase in accounts payable |
11,600 |
Prepare the Cash Flows from Operating Activities section of the
statement of cash flows, using the indirect method. Use the minus
sign to indicate cash outflows, cash payments, decreases in cash,
or any negative adjustments.
| Staley Inc. |
| Statement of Cash Flows (partial) |
|
| Cash flows from operating activities: |
|
|
| Net income |
$ |
|
| Adjustments to reconcile net income to net cash flow from
operating activities: |
|
|
| Depreciation expense |
|
|
| Loss on disposal of equipment |
|
|
| Changes in current operating assets and liabilities: |
|
|
| Increase in accounts receivable |
|
|
| Increase in accounts payable |
|
|
| Net cash flow from operating activities |
|
$ |
