The 2014 accounting records of Liz Ten Transport reveal these transactions and events.

Instructions
Prepare the cash flows from operating activities section using the direct method. (Not all of the items will beused.)

Transcribed Image Text:

Payment of interest Cash sales $10,000 50,000 Collection of accounts receivable Payment of salaries and wages Depreciation expense Proceeds from disposal of $190,000 57,000 16,000 Receipt of dividend 18,000 16,000 38,000 revenue Payment of income taxes Net income Payment of accounts payable plant assets Purchase of equipment for cash Loss on disposal of plant assets Payment of dividends Payment of operating expenses 12,000 22,000 3,000 14,000 28,000 for merchandise Payment for land 115,000 74,000