Please use the exact description names when labeling. The wrong answered are highlighted in red. Thanks!

Piura Manufacturing

Comparative Balance Sheets

For the Years Ended June $30,20$X$1$ and $20$X$21($a$).$ Prepare a schedule of operating cash flows using the indirect method. $($Note: Use a minus sign to indicate any decreases in cash or cash outflows. Refer to the Amount Descriptions list provided for the exact wording of the answer choices for text entries.$)$

$\backslash$begin$\{$tabular$\}\{|$c$|$c$|$c$|\}$

$\backslash$hline & $\backslash$begin$\{$tabular$\}\{$l$\}$

Piura Manufacturing $\backslash \backslash$

Operating Cash Flows Using the Indirect Method

$\backslash$end$\{$tabular$\}$ & Score: $60/79\backslash \backslash$

$\backslash$hline $1$ & Net income $\backslash ($ v $\backslash )$ & $\backslash$$$32,000\mathrm{.}00\backslash (\{\}^\{\backslash$text $\{^2\}\}\backslash )\backslash \backslash$

$\backslash$hline $2$ & Add $($deduct$)$ adjusting items: & $\backslash \backslash$

$\backslash$hline $3$ & Depreciation expense & $4,000\mathrm{.}00\backslash \backslash$

$\backslash$hline $4$ & Loss on sale of equipment & $6,000\mathrm{.}00\backslash \backslash$

$\backslash$hline $5$ & & $\backslash ((4,000\mathrm{.}00)^\{$v$\}\backslash )\backslash \backslash$

$\backslash$hline $6$ & Decrease in inventory $\backslash (\backslash$checkmark $\backslash )$ & $20,000\mathrm{.}00\backslash \backslash$

$\backslash$hline $7$ & Increase in accounts payable $\backslash (\backslash$quad $\backslash$checkmark $\backslash )$ & $16,000\mathrm{.}00\backslash \backslash$

$\backslash$hline $8$ & Decrease in wages payable $\backslash (\backslash$checkmark $\backslash )$ & $\backslash ((1,600\mathrm{.}00)^\{\backslash$text $\{$V $\}\}\backslash )\backslash \backslash$

$\backslash$hline $9$ & & $\backslash$$$72,400\mathrm{.}00\backslash \backslash$

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$\backslash$end$\{$tabular$\}$

Points:

$\backslash (\backslash$square $\backslash )$

$12\mathrm{.}15/16$