SUPPLEMENTAL PROBLEM 1-1 The Skip Company income statement and comparative balance sheet are presented as follows. Assume all accruals and deferrals relate solely to operating activities. Skip Company Income for Year Revenues Gain on sale of asset Cost of sales Salaries Depreciation Insurance Net income $150,000 3,000 $ 50,000 30,000 9,000 4,000 93,000 $60,000 Skip Company Changes in Selected Accounts Cash Accounts receivable Unearned revenue Accrued wages Prepaid insurance Inventory Accounts payable Additional Information Long-term asset acquisition Sale of productive asset Retirement of long-term debt Payment of dividends Issuance of long-term debt $62,000 20,000 10,000 4,000 3,000 2,000 8,000 $13,000 11,000 9,000 2,000 12,000 bookshelf.vitalsource.comtlh SUPPLEMENTAL PROBLEM 1-1 The Skip Company income statement and comparative balance sheet are presented as follows Assume all accruals and deferrals relate solely to operating activities. Skip Company Income for Year Revenues Gain on sale of asset Cost of sales Salaries Depreciation Insurance Net income $150,000 3,000 $50,000 30,000 9,000 000 93,000 $60,000 Skip Company Changes in Selected Accounts Cash 62,000 Accounts receivable 20,000 2/20/2019 VitalSource: Statement of Cash Flows: Preparation, Presentation, and Use Required Use the financial statements to prepare both a direct and the indirect method statement of cash flows that meet the requirements of FASB ASC 230, Statement of Cash Flows