Required prepare the cash flows from operating activities


Problem - Lansing Company's 2017 income statement and selected balance sheet data (for current assets and current liabilities) at December 31, 2016 and 2017, follow.

LANSING COMPANY Income Statement For Year Ended December 31, 2017

Sales revenue$124,200

Expenses Cost of goods sold 51,000

Depreciation expense 16,500

Salaries expense 27,000

Rent expense 9,900

Insurance expense 4,700

Interest expense 4,500

Utilities expense 3,700

Net income$6,900

LANSING COMPANY Selected Balance Sheet Accounts At December 31 2017 2016

Accounts receivable $6,500 $7,600

Inventory 2,880 1,990

Accounts payable 5,300 6,400

Salaries payable 1,060 790

Utilities payable 400 250

Prepaid insurance 350 460

Prepaid rent 400 270

Required: Prepare the cash flows from operating activities section only of the company's 2017 statement of cash flows using the indirect method.

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Accounting Basics: Required prepare the cash flows from operating activities
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