Preparing the Operating Activities Section of the Statement of Cash Flows Anakin, Inc., provides the following...

 

Transcribed Image Text:

Preparing the Operating Activities Section of the Statement of Cash Flows Anakin, Inc., provides the following account balances for 2015 and 2014: Dec. 31, 2015 Dec. 31, 2014 $ 18,700 $15,500 27,200 Accounts Receivable.. 25,440 Inventory 21,650 22,400 Accounts Payable... Salaries Payable Sales..... Cost of Goods Sold.. Depreciation Expense Salaries Expense... Other Expenses. 1,500 1,350 278,700 197,000 16,700 35,200 ..... 24,300 Using the format presented in the chapter, prepare the Operating Activities section of the statement of cash flows and present that information using (a) the direct method and (b) the indirect method. Preparing the Operating Activities Section of the Statement of Cash Flows Anakin, Inc., provides the following account balances for 2015 and 2014: Dec. 31, 2015 Dec. 31, 2014 $ 18,700 $15,500 27,200 Accounts Receivable.. 25,440 Inventory 21,650 22,400 Accounts Payable... Salaries Payable Sales..... Cost of Goods Sold.. Depreciation Expense Salaries Expense... Other Expenses. 1,500 1,350 278,700 197,000 16,700 35,200 ..... 24,300 Using the format presented in the chapter, prepare the Operating Activities section of the statement of cash flows and present that information using (a) the direct method and (b) the indirect method.

Answer rating: 100% (QA)

Cash flows from operating activities is an important section of cash flow statement which sh... View the full answer