Reference no: EM133028105
Question - Using the following income statement and additional year-end information. SONAD COMPANY Income Statement For Year Ended December 31
Sales $2,430,000
Cost of goods sold 1,190,700
Gross profit 1,239,300
Operating expenses Salaries expense $332,910
Depreciation expense 58,320
Rent expense 65,610
Amortization expenses-Patents 7,290
Utilities expense 26,730
490,860 748,440
Gain on sale of equipment 9,720
Net income $758,160
Accounts receivable$41,650 increase
Accounts payable $9,400 decrease
Inventory 20,150 increase
Salaries payable 3,050 decrease.
Required - Prepare the operating activities section of the statement of cash flows using the direct method.