The Cash Flows from Operating Activities Are Reported by the Direct

question 186

Essay

The cash flows from operating activities are reported by the direct method on the statement of cash flows. Determine the following: (a) If sales for the current year were $\$ 695,000$ and accounts receivable decreased by $\$ 43,500$ during the year, what was the amount of cash received from customers?
(b) If income tax expense for the current year was $\$ 56,000$ and income tax payable decreased by $\$ 5,200$ during the year, what was the amount of cash payments of income tax?

Understand the concept of book value and how it is calculated for a fixed asset.

Recognize that depreciation estimates can be revised and understand the impact of such revisions.

Understand the variability and applicability of different depreciation methods across various assets.

Know the definition and treatment of residual value in the context of depreciation.

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Definitions:

Women Activists

Female individuals who actively advocate for and work towards political, social, economic, or environmental change.

Violent

Involving physical force intended to hurt, damage, or kill someone or something.

Civil Rights Groups

Organizations and collectives that advocate for the protection and expansion of individual rights and liberties, especially for marginalized and oppressed groups.

Great Society

A set of domestic programs in the United States launched by President Lyndon B. Johnson to eliminate poverty and racial injustice.