Bracewell Company reported net income of $193,980 for 2014. Bracewell also reported depreciation expense of $45,100 and

Question:

Bracewell Company reported net income of $193,980 for 2014. Bracewell also reported depreciation expense of $45,100 and a gain of $4,930 on disposal of plant assets. The comparative balance sheet shows an increase in accounts receivable of $18,840 for the year, a $20,980 increase in accounts payable, and a $3,500 decrease in prepaid expenses.

Prepare the operating activities section of the statement of cash flows for 2014. Use the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that... Balance Sheet
Balance sheet is a statement of the financial position of a business that list all the assets, liabilities, and owner’s equity and shareholder’s equity at a particular point of time. A balance sheet is also called as a “statement of financial...