Below are the condensed balance sheet and income statement for the Beltway Company, Inc. Assuming there were no disposals of fixed assets during the year 2014, provide a statement of cash flows using the direct method for the year ended December 31, 2014.

Condensed balance sheet December 31, 2014

Condensed income statement for year ended December 31, 2014

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Assets: Current assets Cash Accounts receivable Inventory Prepaid insurance Property plant and equipment Accumulated depreciation Net PP&E Total assets Liabilities: Accounts payable Wages payable Interest payable Taxes payable Long-term debt Common stock Retained earnings 2013 8 53 52 5 140 (45) 95 213 35 12 5 3 92 50 16 213 2014 25 58 40 3 150 (55) 95 211 21 16 2 4 92 60 26 211 Sales COGS Operating expenses: Wages Utilities Insurance Depreciation Operating income Interest Income before tax Tax Net income 480 328 103 11 3 10 25 12 13 3 10 Assets: Current assets Cash Accounts receivable Inventory Prepaid insurance Property plant and equipment Accumulated depreciation Net PP&E Total assets Liabilities: Accounts payable Wages payable Interest payable Taxes payable Long-term debt Common stock Retained earnings 2013 8 53 52 5 140 (45) 95 213 35 12 5 3 92 50 16 213 2014 25 58 40 3 150 (55) 95 211 21 16 2 4 92 60 26 211 Sales COGS Operating expenses: Wages Utilities Insurance Depreciation Operating income Interest Income before tax Tax Net income 480 328 103 11 3 10 25 12 13 3 10

Answer rating: 100% (QA)

Cash flow from operating Activities Net income 10 Depreciatio... View the full answer