Solution-Cash outflows from operating activities

Cash outflows from operating activities

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Reference no: EM13918372

The following accounts and corresponding balances were drawn from Marinelli Company's 2014 and 2013 year end balance sheets:

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The 2014 income statement is shown below:
Income Statement:

Sales ..................$530,000
Salary expense ..............$(214,000)
Other operating expenses ..........$(175,000)
Operating income .............$141,000

Non operating items:

Interest revenue ....$16,500
Net income ..............$157,500

Required:

a. Use the direct method to compute the amount of cash inflows from operating activities.

b. Use the direct method to compute the amount of cash outflows from operating activities.

Reference no: EM13918372

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Cash outflows from operating activities

Reference no: EM13918372

Reference no: EM13918372

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