Current Attempt in Progress Presented below is the income statement of Sandra, Inc.: Sales revenue $384,000 Cost of goods sold 226,500 Gross profit $157,500 Operating expenses 96,600 Income before income taxes 60,900 Income taxes 23,800 Net income $ 37,100 In addition, the following information related to net changes in working capital is presented: Debit Credit Cash $13,000 Accounts receivable 26,000 Inventories $19,400 Salaries payable (operating expenses) 8,200 Accounts payable 13,800 Income taxes payable 2,900 The company also indicates that depreciation expense for the year was $16,700 and that the deferred tax liability account increased $3,000. 

(a) Prepare a schedule computing the net cash flow from operating activities by using the indirect method that would be shown on a statement of cash flows. (Show amounts that decrease cash flow with either a - sign e.g. -10,000 or in parenthesis e.g. (10,000).) Sandra, Inc. Statement of Cash Flows (Partial) (Indirect Method) $ Adjustments to reconcile net income to $ $ Attempts:

(b) Prepare a schedule computing the net cash flow from operating activities by using the direct method that would be shown on a statement of cash flows. Sandra, Inc. Statement of Cash Flows (Partial) Direct Method Cash at Beginning of Period Cash Received from Customers $ $ Net Cash Provided by Operating Activities $ Last saved 8 minutes ago.