Exercise 12-2 (Algo) Indirect: Reporting cash flows from operations LO P2 Hampton Company reports the following...

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Exercise 12-2 (Algo) Indirect: Reporting cash flows from operations LO P2 Hampton Company reports the following information for its recent calendar year. Income Statement Data Sales Expenses: Cost of goods sold $ 77,000 Accounts receivable increase Selected Year-End Balance Sheet Data Inventory decrease $ 5,000 3,000 800 41,000 Salaries payable increase 11,000 Salaries expense Depreciation expense 5,000 Net income $ 20,000 Required: Prepare the operating activities section of the statement of cash flows using the indirect method. Note: Amounts to be deducted should be indicated with a minus sign. Statement of Cash Flows (partial) Cash flows from operating activities-indirect method Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities Exercise 12-2 (Algo) Indirect: Reporting cash flows from operations LO P2 Hampton Company reports the following information for its recent calendar year. Income Statement Data Sales Expenses: Cost of goods sold $ 77,000 Accounts receivable increase Selected Year-End Balance Sheet Data Inventory decrease $ 5,000 3,000 800 41,000 Salaries payable increase 11,000 Salaries expense Depreciation expense 5,000 Net income $ 20,000 Required: Prepare the operating activities section of the statement of cash flows using the indirect method. Note: Amounts to be deducted should be indicated with a minus sign. Statement of Cash Flows (partial) Cash flows from operating activities-indirect method Adjustments to reconcile net income to net cash provided by operating activities Income statement items not affecting cash Changes in current operating assets and liabilities