The Financial Information Below Presents Operating Revenue and Expenses for 2018

question 43

Essay

The financial information below presents operating revenue and expenses for 2018 as well as the starting and ending balances for relevant asset and liability accounts that changed during the year:
$\begin{array}{|r|r|r|r|}\hline \text { Sales revenue } & \$ 909,272 & \text { Depreciation expense } & \$ 3,206 \\\hline \text { Cost of goods sold } & 445,563 & \begin{array}{r}\text { Selling, general and administrative } \\\text { expenses }\end{array} & 91,316 \\\hline \text { Interest expense } & 12,407 & \text { Income tax expense } & 143,126 \\\hline \text { Accounts receivable 12/31/17 } & 65,305 & \text { Accounts receivable 12/31/18 } & 67,810 \\\hline \text { Accounts payable } 12 / 31 / 17 & 16,540 & \text { Accounts payable 12/31/19 } & 17,261 \\\hline \text { Prepaid expenses 12/31/17 } & 4,107 & \text { Prepaid expenses 12/31/1 } & 3,875 \\\hline \text { Inventory 12/31/17 } & 7,857 & \text { Inventory 12/31/1 } & 6,491 \\\hline\end{array}$

Prepare the Operating section of the Cash Flow Statement using the indirect approach.

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Definitions:

Relevant Information

Data or details that are directly related to the matter at hand or of interest to the decision-making process.

Marketing Research

The process of gathering, analyzing, and interpreting information to help companies make informed decisions about market opportunities and strategies.

Historical Purposes

Historical purposes refer to the use of historical data and insights to understand past phenomena or guide future decisions.

Positive Marketing

Marketing strategies aimed at promoting positive messages and social values, often focusing on the benefits to the community or environment.