Reference no: EM132786142
Question - Perfect Office Products provided the following balance sheets and income statement:
Year 2 Year 1
Cash $63,400 $68,700
Accounts receivable 35,000 36,500
Inventory 34,000 32,000
Prepaid insurance 11,000 17,000
Equipment, net 234,500 215,000
Total assets $377,900 $369,200
Accounts payable $36,000 $38,800
Income taxes payable 35,900 23,400
Long-term note payable 57,000 89,000
Common stock 135,600 124,000
Retained earnings 113,400 94,000
Total liabilities & shareholders' equity $377,900 $369,200
Income Statement for Year Ending December 31, Year 2
Sales $570,000
Cost of goods sold 238,000
Depreciation expense 31,200
Other operating expenses 125,000
Income taxes expense 68,000
Net income $107,800
Required - Calculate the cash flow from operations for Year 2.