Question

select information for kuyaleyri Company is below. use the direct method to prepare the 2019 operating section of the statement of cash flows:

	2019	2018
Sales	$      500,000	$      480,000
Cost of goods sold	$     (400,000)	$     (380,000)
Depreciation expense	$       (40,000)	$       (35,000)
Utility expense	$       (45,000)	$       (44,000)
Wage expense	$       (12,000)	$       (11,000)
Gain on sale of equipment	$          1,000	$             500
Loss on sale of investment	$         (2,000)	$                -
Income tax expense (paid in cash)	$         (1,000)	$         (1,000)
Net income	$          1,000	$          9,500
Cash	$        60,500	$        12,000
Accounts receivable	$        22,000	$        20,000
Inventory	$        55,000	$        54,000
Equipment	$      173,000	$      200,000
Accumulated depreciation	$     (120,000)	$     (100,000)
Long-term investments	$          5,000	$        10,000
Accounts payable	$        21,000	$        22,000
Wages payable	$             500	$          1,000
Utility payable	$          2,000	$          1,000

Answer 1