E12-22 (Algo) (Supplement A) Reporting and Interpreting Cash Flows from Operating Activities from an Analyst's Perspective (Direct Method) Rodriguez Company completed its income statement and comparative balance sheet for the current year and provided the following Information: $ 51,700 Income Statement for Current Year Service revenue Expenses Salaries Depreciation Amortization of copyrights Other expenses Net loss $ 41,800 7,500 380 10,400 60,080 $ (8,380) Partial Balance Sheet Accounts receivable Salaries payable Other accrued liabilities Current Prior Year Year $ 10,000 $ 15,500 13,400 2,100 2,900 5,700 In addition, Rodriguez bought a small service machine for $6,600. Required: 1. Present the operating activities section of the statement of cash flows for Rodriguez Company using the direct method. Assume that other accrued liabilities relate to other expenses on the income statement. (List cash outflows as negative amounts.) RODRIGUEZ COMPANY Statement of Cash Flows (Partial) Cash flows from operating activities: Cash collected from customers Cash payments to employees $ 57,300 30,500 Cash payments for other expenses Net cash provided by operating activities $ 87,800