65.14 LO 5.9 Operating Cash Flows Direct Method The following are various cash flows and other information for Smyczek Company for 2016: a. Payments of interest, S8,200 f. Collections from customers, $101,600 b. Receipt from sale of land, S7,900 g. Payments of income taxes, $15,400 c. Interest collected, $10,000 h. Receipt from issuance of stock, $18,900 d. Payment of dividends, $12,100 i. Payments to suppliers and employees, $67,500 c. Depreciation expense, $24,700 j. Increase in inventories, $4,600 Required: Using the direct method, prepare the cash flows from operating activities section of Smyczek's 2016 statement of cash flows. E5-15 LO 5.9 Statement of Cash Flows The following items involve the cash flow activities of Rocky Horror Picture Co. for 2016: SHOW ME HOW a. Net income, S41,000 f. Accounts receivable decreased by $2,000 b. Payment of dividends, $16,000 g. Accounts payable decreased by $4,000 c. Ten-year, $28,000 bonds payable were h. Equipment acquired at a cost of $8,000 issued at face value i. Inventories increased by $7,000 d. Depreciation expense, $11,000 j. Beginning cash balance, $13,000 c. Building acquired at a cost of $40,000 Required: Prepare Rocky Horror Picture's statement of cash flows for 2016 using the indirect method. Statement of Cash Flows The following E5-16