The Income Statement and a Partial Balance Sheet of Hart

question 35

Essay

The income statement and a partial balance sheet of Hart Alloy Company for the year ended December 31,2018 is presented below.Prepare the operating activities section of the statement of cash flows using the direct method.Accrued Liabilities relate to miscellaneous operating expenses.
$\begin{array}{llr}&\text { Hart Alloy Company}\\&\text { Income Statement}\\&\text { For the Year Ended December 31, 2018}&\\\text { Sales Revenues } && \$ 1,500,000 \\\text { Cost of Goods Sold } && 1,170,000 \\\text { Gross Profit } && \$ 330,000\end{array}$
Operating Expenses:
$\begin{array}{ll}\text { Salaries Expense } & \$ 210,000 \\\text { Depreciation Expense } & 60,000 \\\text { Miscellaneous Expenses } & \underline{30,000}& \underline{300,000}\\\text { Net Income } && \underline{\$30,000}\end{array}$ $\begin{array}{c}\text { Hart Alloy Company}\\\text { Partial Balance Sheet}\\\text { December 31,2018 and 2017}\\\begin{array}{lll}&2018&2017\\\text { Cash } & \$ 240,000 & \$ 195,000 \\\text { Accounts Receivable (net) } & 150,000 & 150,000 \\\text { Inventories } & 306,000 & 258,000 \\\text { Accrued Liabilities } & 13,500 & 15,000 \\\text { Accounts Payable (Merchandise Inventory) } & 174,000 & 153,000 \\\text { Salaries Payable } & 22,500 & 18,000\end{array}\end{array}$

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Definitions:

Healthy Carbohydrates

Carbohydrates considered beneficial for health, often found in whole foods like fruits, vegetables, and whole grains, providing energy and nutrients.

Natural Sugars

Sugars that occur naturally in foods, such as fructose in fruits and lactose in milk, as opposed to added sugars or sweeteners.

Ample Fiber

A diet rich in dietary fiber, which is important for digestive health and can contribute to preventing various diseases.

Bodily Fluids

Liquids that are produced or present in the human body, essential for the functioning of various organs and systems.