Selected information from Juno Ltd.'s statement of financial position and income statement is found in E13.4. In addition to the information contained in these statements, note the following:
1. Prepaid expenses and accrued liabilities relate to operating expenses.
2. Accounts payable relate to purchases of merchandise.
3. Operating expenses included depreciation expense of $11,000 and a loss of $5,000 on the disposal of equipment.
Instructions
Prepare the operating activities section of the statement of cash flows, using the direct method.