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To compare statement of cash flow reporting under the

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Reference no: EM13583657

Problem 1

To compare statement of cash flow reporting under the direct and indirect methods, enter a check mark to indicate which items are used with each method.

 


Cash Flows

Statement of Cash Flows Method

(and related changes)

Direct

Indirect

 

 1.

 

Salaries payable increase or decrease

 

 

 

 2.

 

Payments to employees

 

 

 

 3.

 

Cash collections from customers

 

 

 

 4.

 

Prepaid rent increase or decrease

 

 

 

5.

 

Payments to suppliers

 

 

 

6.

 

Inventory increase or decrease

 

 

 

 7.

 

Utilities payable, increase or decrease

 

 

 

 8.

 

Depreciation expense

 

 

 

 9.

 

Net income

 

 

 

10.

 

Cash flows from operating activities

 

 

 

11.

 

Cash flows from investing activities

 

 

 

12.

 

Cash flows from financing activities

 

 

 

13.

 

Net increase or decrease in cash during the period

 

 

 

Reference no: EM13583657

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