Workshop question - We will focus on indirect methodsPSA11.8 Prepare a statement of cash flows ? direct and indirect methods ? and calculate cash-based ratios. (LO3, 5)Here are the financial statements of White-Water Rafting Ltd. The following additional data were provided.1. Dividends of $12 000 were declared and paid.2. During the year equipment was sold for $10 000 cash. This equipment cost $15 000 originally and had a carrying amount of $10 000 at the time of sale.3. All depreciation expense, $11 000, is in the selling expense category.4. All sales and purchases are on account.5. Additional accessories for the climbing equipment were purchased for $7000 cash. The accessories are reported as part of the asset, climbing equipment.6. Accounts payable pertains to inventory creditors. Inventory comprises food and liquor sold on tours.7. All operating expenses except depreciation are paid in cash.Required(a) Prepare a statement of cash flows using the indirect method for operating cash flows.

Workshop question - We will focus on indirect methods PSAIL.8 Prepare a statement of cash flows direct and indirect methods and calculate cash-based ratios. (LO3, 5) Here are the financial statements of White-Water Rafting Ltd. The following additional data were provided. 1. 2. 7 Dividends of $12 000 were declared and paid. During the year equipment was sold for $10 000 cash. This equipment cost $15 000 originally and had a carrying amount of $10 000 at the time of sale. All depreciation expense, $11 000, is in the selling expense category. All sales and purchases are on account. Additional accessories for the climbing equipment were purchased for $7000 cash. The accessories are reported as part of the asset, climbing equipment. Accounts payable pertains to inventory creditors. Inventory comprises food and liquor sold on tours. All operating expenses except depreciation are paid in cash. Required (a) Prepare a statement of cash flows using the indirect method for operating cash flows