Cash flows from operating activities (indirect and direct methods).

Presented below is the income statement of Covan, Inc.:

Salesrevenue$380,000

Cost of goodssold225,000

Grossprofit$155,000

Operatingexpenses95,000

Income before incometaxes60,000

Incometaxes24,000

Netincome$36,000

In addition, the following information related to netchangesin working capital is presented:

DebitCredit

Cash$12,000

Accountsreceivable25,000

Inventories$19,400

Salaries payable (operatingexpenses)8,000

Accountspayable14,000

Income taxespayable3,000

Calculate

1. Cash received from customers

2. Cash paid to suppliers

3. Cash paid as operating expenses

4. Cash paid as taxes

5. Net cash flow from operating activities