The two independent cases are listed below Case A Case B Yea

The two independent cases are listed below: Case A Case B Year 2 Year 1 Year 2 Year 1 Sales Revenue Cost of Goods Sold Gross Profi Depreciation Expense Salaries and Wages Expense Net Income Accounts Receivable $ 10,100 4,500 $20,100 $13,500 5,190 1,900 11,190 7,720 4,910 2,600 8,910 5,780 1,100 1,100 1,050 1,050 1,100 4,100 4,100 2,210 400 3,760 630 255 310 660 555 685 945 1,600 705 710 410 655 685 890 710 945 Accounts Payable Salaries and Wages Payable 955 1,110 385 440 Show the operating activities section of the statement of cash flows for year 2 using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Case A CaseB Adjustments to Reconcile Net Income to Net Cash Provided by Operating Activities Changes in Assets and Liabilities

Solution

Case A Case B Net Income 2210 3760 Adjustments to Reconcile Net Income to netCash provided by operating activities Depreciation expense 1100 1050 Changes in Assets and Liabilities: Accounts Receivable 55 -105 Inventory -295 25 Accounts Payable 55 -55 Accrued Liabilities -155 -55 Net Cash Provided by Operating Activities 2970 4620