Question

Marlin Interiors began the year with cash of $50,000. During the year, Marlin Interiors earned service revenue of $408,000. Cash collections for the year were $400,000. Expenses for the year were $390,000, with $375,000 of that total paid in cash. The company also used cash to purchase equipment for $70,000 and to pay a cash dividend to stockholders of $34,000. During the year, the company also borrowed $56,000 cash by issuing a long-term note payable. Requirement Prepare the company's statement of cash flows using the direct method. Prepare the statement one section at a time. (Use parentheses or a minus sign for numbers to be subtracted, net cash outflows, and decreases in cash.) Marlin Interiors Statement of Cash Flows (Direct Method) For the Year Ended December 31 Operating Activities: Net cash provided by (used for) operating activities

Answer 1

Marlin n tericrs Statement of flocos Cash CDIrec menod) erded The Year Fov DEember 3 acfi vi tier Perating from receipt cash CUstomers 400000 cash pid Tounid eafence 4375000) NeT Cash ovided byoferang Acfvite 25 000 from tnvesting nvihe cosh flcw To000) Purchae ol equipmard C70,000) Ner cah flou fron investu Ptivtu from finaning nchvite Tem nol ayadle Cajh flou (ong .56000 SSue faid Dvidend NET Canlocu rom finan Achvit in ca 2 (arh equivalend Net increajO cayBalan Beginnn cayh Balan -23000 50000 enel a700