Refer to the information in Problem 17-9A. Prepare a statement of cash flows for 2014 using the direct method to report cash inflows and outflows from operating activities.

Other information:

a. All accounts payable balances result from merchandise purchases.
b. All sales are credit sales.
c. All credits to accounts receivable are receipts from customers.
d. All debits to accounts payable result from payments for merchandise.
e. All other expenses are cashexpenses.

Lockerbie & Hole Inc. Income Statement For Year Ended December 31, 2014 (000s) Lockerbie & Hole Inc. Post-Closing Trial Balance (000s) December 31 2014 Account 2013 Revenues: Cash Receivables $2,160 2,100 $1,260 Sales.. $3,300 1,440 Expenses: Cost of goods sold. Merchandise inventory.. Property, plant and equipment. Accumulated depreciation. 2,280 3,960 1,380 1,080 2,040 $2,520 3,720 Other expenses.. 660 1,440 Depreciation expense Total expenses.. 240 Accounts payable. 1,440 3,420 Accrued liabilities 240 360 Net loss. S 120 Bonds payable. 1,680 1,800 Common shares. 3,084 2,040 Retained earnings.. 2,136 2,280