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Question - Bramble Company's income statement for the year ended December 31, 2020, contained the following condensed information.
Service revenue
$846,000
Operating expenses (excluding depreciation)
$630,000
Depreciation expense
61,000
Loss on sale of equipment
27,000
718,000
Income before income taxes
128,000
Income tax expense
40,000
Net income
$88,000
Bramble's balance sheet contained the following comparative data at December 31.
2020
2019
Accounts receivable
$35,000
$57,000
Accounts payable
42,000
30,000
Income taxes payable
3,900
8,700
(Accounts payable pertains to operating expenses.)
Required - Prepare the operating activities section of the statement of cash flows using the indirect method.
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