Nebraska Auto Parts Company Uses the Indirect Method to Prepare

question 27

Essay

Nebraska Auto Parts Company uses the indirect method to prepare the statement of cash flows.Refer to the following income statement:
Nebraska Auto Parts Company
Income Statement
Year Ended December 31,2018 $\begin{array}{ll}\text { Sales Revenue } & \$ 360,000 \\\text { Interest Revenue } & 1,500 \\\text { Gain on Sale of Plant Assets } & \underline{6,000}\\\text { Total Revenues and Gains }&&\$367,500\\\text { Cost of Goods Sold } & 165,000 \\\text { Salarv Expense } & 67,500\\\text { Depreciation Expense } & 18,000 \\\text { Other Operating Expenses } & 34,500 \\\text { Interest Expense } & 1,500 \\\text { Income Tax Expense } & \underline{7,500}\\\text { Total Expenses } && \underline{294,000} \\\text { Net Income (Loss) } && \$ 73,500\end{array}$ Additional information provided by the company includes the following:
Current assets other than cash increase by $36,000.
Current liabilities decrease by $1,500.
Prepare the operating activities section of the statement of cash flows.

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Definitions:

Symbolize

The process of representing concepts, quantities, or instructions with symbols.

Nutritious

Containing essential nutrients that contribute to good health and well-being, often applied to foods rich in vitamins, minerals, and other beneficial substances.

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Plants or parts of plants that are consumed as food and characterized by their green color, often rich in vitamins, minerals, and fiber.

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Vegetables that are characterized by their yellow coloration, often indicating the presence of specific nutrients such as carotenoids.