The following information is taken from the 2014 general ledger of Swisher Company.

Instructions

In each case, compute the amount that should be reported in the operating activities section of the statement of cash flows under the direct method.

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Rent expense Prepaid rent, January 1 Prepaid rent, December 31 Salaries and wages expense Salaries and wages payable, January 1 Salaries and wages payable, December 31 Sales revenue Accounts receivable, January 1 Accounts receivable, December 31 $ 48,000 5,900 Rent 9,000 $ 54,000 Salaries 8,000 $175,000 Sales 7,000