Operating Cash Flows $($Direct Method$)$

Calculate the cash flow for each of the following cases.

a$.$ Cash paid for rent:

Rent expense$$65,000$Prepaid rent, beginning year$11,000$Prepaid rent, end of year$8,000$

Note: Do not use a negative sign.

Cash Answer $1$inflowoutflow

of $Answer $2$

$.$

b$.$ Cash received as interest:

Interest income$$15,500$Interest receivable, beginning year$3,000$Interest receivable, end of year$3,800$

Note: Do not use a negative sign.

Cash Answer $3$inflowoutflow

of $Answer $4$

$.$

c$.$ Cash paid for merchandise purchased:

Cost of goods sold$$87,000$Inventory, beginning year$19,000$Inventory, end of year$23,000$Accounts payable, beginning year$11,000$Accounts payable, end of year$8,000$

Note: Do not use a negative sign.

Cash Answer $5$inflowoutflow

of $Answer $6$