The income statement of Munsun Company is presented here MUN

The income statement of Munsun Company is presented here. MUNSUN COMPANY Income Statement For the Year Ended November 30, 2017 Sales revenue Cost of goods sold $7,600,000 $1,900,000 4,400,000 6,300,000 1,600,000 Beginning inventory Goods available for sale Ending inventory Total cost of goods sold Gross profit Operating expenses 4,700,000 S2,900,000 450,000 700,000 Selling expenses 1,150,000 $1,750,000 Net income Additional information: 2. Prepaid expenses increased $150,000 during the year. 4 Accrued expenses payable decreased S100,000 during the year Accounts receivable decreased S380,000 during the year, and inventory decreased S300,000 Accounts payable to suppliers of merchandise decreased S3 50,000 during the year. . Administrative expenses include depreciation expense of S110,000. Prepare the operating activities section of the statement of cash flows for the year ended November 30, 2017, for Munsun Company, using NOTE: Enter a number in cells requesting a value, enter either a number or a formula in cells with a \"? the indirect method.

Solution

MUNSUN COMPANY partial Statements of cash flows for the year Ended november 30,2017 Amount in $ Amount in $ Cash Flow from Operating Activities Net income 1750000 Adjustements to reconcile net income to net cash provided by operating Activities depreciation Expenses 110000 decrese in Accounts receivables 380000 Decrese in Inventory 300000 increse in prepaid Expenses -150000 Decrese in Accoutns aPaybles -350000 Decrese in Accured Expenses payable -100000 190000 Net cash provided by Operating Actviities 1940000