For each transaction below, write the net effect on Current Assets (CA), Current Liabilities (CL), Gross Profit (GP), Net Income Before Taxes (NIBT), and Cash flows from operating activities (CFO). Assume that bad debt expense is a component of SG&A, and warranty expense is a component of COGS. Write 0 for no net effect and use negative numbers to indicate reductions in accounts or cash outflows.

Transaction

CA

CL

GP

NI (pretax)

CFO

1. Incurred $210 wage expense (SG&A) to be paid next year

2. Collected $145 of Accounts receivable

3. Sold gift cards worth $82 (expect redemption within 1 year)

4. Customer uses $40 gift card to buy merchandise worth $20 in inventory

5.Pay $55 to R&D employees for research done this month

6. Pay accounts payable of $120

7. Purchased a minivan with cash for $15

8. Paid $10 in interest. Interest expense was recognized in prior period