Exercise 21-21 Cash flows from operating activities (direct method) derived from an income statement; cash flows from operating activities (indirect method) [LO21-3, 21-4] The income statement and a schedule reconciling cash flows from operating activities to net income are provided below ($ in millions) for Peach Computers. PEACH COMPUTERS Income Statement For the Year Ended December 31, 2018 Sales $ 440.0 Cost of goods sold (220.0) Gross margin 220.0 Salaries expense $51. Insurance expense 28.0 Depreciation expense 13.0 Loss on sale of land 11.0 103.0 Income before tax 117.0 Income tax expense (58.5) Net income $ 58.5 $ 58.5 13.0 11.0 Reconciliation of Net Income To Net Cash Flows from Operating Activities Net income Adjustments for noncash effects: Depreciation expense Loss on sale of land Changes in operating assets and liabilities: Decrease in accounts receivable Increase in inventory Decrease in accounts payable Increase in salaries payable Decrease in prepaid insurance Increase in income tax payable Net cash flows from operating activities 15.0 (58.0) (35.0) 23.0 13.5 54.7 $ 95.7 Required: Complete this question by entering your answers in the tabs below. Required 1 Required 2 Calculate each of the following amounts for Peach Computers: (Enter your answers in million (i.e., 5,500,000 should be entered as 5.5). Cash outflows must be indicated with a minus sig a A 6 Increase (Decrease) in Cash 440.0 % 278.0 X 28.0 X 14.5 X 3.8 % A Cash received from customers during the reporting period. Cash paid to suppliers of goods during the reporting period. Cash paid to employees during the reporting period. Cash paid for insurance during the reporting period. Cash paid for income taxes during the reporting period. c. A A e. A Required 1 Required 2 Prepare the cash flows from operating activities section in millions rounded to 1 decimal place (i.e., 5,500,000 $ with a minus sign.) Cash Flows from Operating Activities: Cash received from customers Cash paid to suppliers Cash paid to employees Cash paid for insurance Cash paid for income taxes 455.0 (313.5) (28.0) (14.5) (3.8) Net cash flows from operating activities $ 95.2