Hamburger Heaven’s income statement for the current year and selected balance sheet data for the current and prior years ended December 31 are presented below.

Required:

Prepare the cash flows from operating activities section of the statement of cash flows using the indirect method.

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Income Statement Selected Balance Sheet Accounts Sales Revenue $2,060 Current Prior Expenses: Year Year Cost of Goods Sold 900 $ 82 $ 60 Inventory Accounts Receivable Depreciation Expense Salaries and Wages Expense Rent Expense Insurance Expense Interest Expense Utilities Expense 200 380 450 500 Accounts Payable 200 210 250 Salaries/Wages Payable Utilities Payable 29 20 80 20 60 60 Prepald Rent Prepald Insurance 2 10 50 14 Net Income $ 20