Top Posters
Since Sunday
21
o
6
d
6
A
5
H
5
n
4
t
4
d
4
p
4
r
4
s
4
C
3
New Topic  
bluejean bluejean
wrote...
Posts: 65
Rep: 0 0
A month ago
The following balances were gathered from Brannon Corporation's general ledger.

December 31, 2020December 31, 2021
Accounts receivable$  60,000$  62,000
Inventory150,000147,000
Accounts payable42,00034,000
Accrued liabilities2,0008,000
Income taxes payable2,0003,000
Sales380,000
Cost of goods sold210,000
Operating expenses (includes $5,000 depreciation)82,000
Gain on sale of equipment6,000
Income tax expense17,000
Required:

Using the indirect method, prepare the cash flows provided by operating activities section of Brannon's statement of cash flows for 2021.
Textbook 

Managerial Accounting


Edition: 4th
Author:
Read 4 times
1 Reply
Replies
Answer verified by a subject expert
Marth6377Marth6377
wrote...
Posts: 51
Rep: 0 0
A month ago
Sign in or Sign up in seconds to unlock everything for free
More solutions for this book are available here
Net income$77,000
Depreciation5,000
Gain on sale of equipment(6,000)
Increase in accounts receivable(2,000)
Decrease in inventory3,000
Decrease in accounts payable(8,000)
Increase in accrued liabilities6,000
Increase in taxes payable    1,000
Cash provided by operating activities$76,000

Net income = $380,000 − $210,000 − $82,000 + $6,000 − $17,000 = $77,000

1

Related Topics

bluejean Author
wrote...

A month ago
Just got PERFECT on my quiz
wrote...

Yesterday
Smart ... Thanks!
wrote...

2 hours ago
I appreciate what you did here, answered it right Smiling Face with Open Mouth
New Topic      
Explore
Post your homework questions and get free online help from our incredible volunteers
  261 People Browsing
 321 Signed Up Today
Related Images
  
 4241
  
 2159
  
 219
Your Opinion
What's your favorite coffee beverage?
Votes: 257