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Based on the Following Income Statement and Balance Sheet for Rashid

question 69

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Based on the following income statement and balance sheet for Rashid Corporation, determine the cash flows from operating activities using the indirect method.
RASHID CORPORATION
Incorne Staternent
For Year Ended December 31, 2013
 Sales $504,000 Cost of goods sold $327,600 Depreciation expense 42,000 Other operating expenses 125,500(495,100) Other gains (losses):  Gain on sale of equipment 7,200 Income before taxes $16,100 Income tax expense (4,800) Net income $11,300\begin{array}{|l|r|r|}\hline \text { Sales } & & \$ 504,000 \\\hline \text { Cost of goods sold } & \$ 327,600 & \\\hline \text { Depreciation expense } & 42,000 & \\\hline \text { Other operating expenses } & 125,500 & (495,100) \\\hline \text { Other gains (losses): } & & \\\hline \quad \text { Gain on sale of equipment } & & \underline{7,200} \\\hline \text { Income before taxes } & & \$ 16,100 \\\hline \text { Income tax expense } & & \underline{(4,800)} \\\hline \text { Net income } & & \underline{\$ 11,300}\\\hline\end{array}  Based on the following income statement and balance sheet for Rashid Corporation, determine the cash flows from operating activities using the indirect method.  RASHID CORPORATION Incorne Staternent For Year Ended December 31, 2013  \begin{array}{|l|r|r|} \hline \text { Sales } & & \$ 504,000 \\ \hline \text { Cost of goods sold } & \$ 327,600 & \\ \hline \text { Depreciation expense } & 42,000 & \\ \hline \text { Other operating expenses } & 125,500 & (495,100) \\ \hline \text { Other gains (losses): } & & \\ \hline \quad \text { Gain on sale of equipment } & & \underline{7,200} \\ \hline \text { Income before taxes } & & \$ 16,100 \\ \hline \text { Income tax expense } & & \underline{(4,800)} \\ \hline \text { Net income } & & \underline{\$ 11,300}\\ \hline \end{array}

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