Question

Salud Company reports the following information. Selected Annual Income Statement Data Selected Year-End Balance Sheet Data Net income $400,000 Accounts receivable increase $ 40,000 Depreciation expense 80,000 Prepaid expenses decrease 12,000 Gain on sale of machinery 20,000 Accounts payable increase 6,000 Wages payable decrease 2,000 Use the indirect method to prepare the operating activities section of its statement of cash flows for the year ended December 31. (Amounts to be deducted should be indicated with a minus sign.) Statement of Cash Flows (partial) Cash flows from operating activities Adjustments to reconcile net income to operating cash flow
please do all of them! 2 pictures because the whole problem did not fit

Answer 1

Statement of cash flows for the year ended 31 Dec (Partial)

Cash flow from operating activities :(Indirect Method)

Particulars		Amount ($)	Amount ($)
Net Income			4,00,000.00
Adjustments to reconcile net income to
operating cash flow
Depreciation		80,000
gain on sale of machinery		-20,000
increase in accounts receivable		-40,000
decrease in prepaid expense		12,000
increase in accounts payable		6,000
decrease in wage payable		-2,000
Cash generated from operations			4,36,000.00