Case A Case B

Yr2 Yr1 Yr2 Yr1

sales rev 10500 6500 20500 15500

Cost of Good Sold 5550 3500 11550 9050

Gross Profit 4,950 3,000 8,950 6,450

Depreciation Expense 1,000 1,000 1,250 1,250

Salaries and Wages Expense 2,000 1,500 4,500 4,500

Net Income 1,950 500 3,200 700

Accounts Receivable 275 350 700 575

Inventory 725 450 705 750

Accounts Payable 750 675 850 920

Salaries and Wages Payable 975 1,150 325 400

Show the operating activities section of the statement of cash flows for year 2 using the indirect method.Deductions should be noted with minus sign.

I've tried all of yr2 values just plugging them into to X positions and that didn't work. I'm not sure if they need to be positive or if I'm just completely off base. Please show me how to get these values. Thanks

Case A Case B

Net Income

$1950 $3200

Adjustments to Reconcile Net Income

to Net Cash Provided by Operating Activities

Depreciation Expense $1,000 $1,250

Changes in Assets and Liabilities

Accounts Receivable X X

Inventory x x

Salaries and Wages Payable X X

Salaries and Wages Expense X X

Net Cash Provided by Operating Activities