pls answer

CASH FLOW STATEMENT PREPARATION. PROBLEM 1. The net income reported on an income statement for the current year was P59,000. Depreciation recorded on fixed assets for the year was P24.000. Balances of the current asset and current liability accounts at the end and beginning of the year are listed below. Prepare the cash flows from operating activities section of a statement of cash flows using the indirect method. End Beginning Cash P65,000 P 70,000 Accounts receivable (net) 70,000 57,000 Inventories 86,000 102,000 Prepaid expenses 4,000 4,500 Accounts payable (merchandise creditors) 51,000 58,000 Cash dividends payable 4,500 6,500 Salaries payable 6,000 7,500 PROBLEM 2. On the basis of the following data for LYCEUM Co. for 2018 and the preceding year ended December 31, 2018, prepare a statement of cash flows. Use the indirect method of reporting cash flows from operating activities. Assume that equipment costing P125,000 was purchased for cash and equipment costing P85,000 with accumulated depreciation of P65,000 was sold for P15,000; that the stock was issued for cash; and that the only entries in the retained earnings account were net income of P51,000 and cash dividends declared of P13,000. Year Year 2018 2017 Cash P100,000 P 78,000 Accounts receivable (net) 78,000 85,000 Inventories 101,500 90.000 Equipment 410,000 370,000 Accumulated depreciation (150,000) (158,000) P539.500 P465.000 Accounts payable (merchandise creditors) P 58,500 P 55,000 Cash dividends payable 5.000 4.000 Common stock, P10 par 200,000 170,000 Paid-in capital in excess of par-- common stock 62,000 60,000 Retained earnings 214.000 176.000 P539.500 P465.000 SOLUTION GUIDE: Cash flows from operating activities: Net income, per income statement P 51,000 Add: Depreciation P57,000 Decrease in accounts receivable 7,000 Increase in accounts payable 3,500 "please continue using this format"