CULLUMBER COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2020 Sales revenue $7,410,000 Cost of goods sold Beginning inventory $1,880,000 Purchases 4,360,000 Goods available for sale 6,240,000 Ending inventory 1,500,000 Cost of goods sold 4,740,000 Gross profit 2,670,000 Operating expenses Selling expenses 460,000 Administrative expenses 630,000 1,090,000 Net income $1,580,000 Additional information: 1. Accounts receivable decreased $300,000 during the year. 2. Prepaid expenses increased $170,000 during the year. 3. Accounts payable to suppliers of merchandise decreased $280,000 during the year. 4. Accrued expenses payable decreased $130,000 during the year. 5. Administrative expenses include depreciation expense of $60,000. Prepare the operating activities section of the statement of cash flows for the year ended December 31, 2020, for Cullumber Company, using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

CULLUMBER COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2020 Sales revenue $7,410,000 Cost of goods sold Beginning inventory $1,880,000 Purchases 4,360,000 Goods available for sale 6,240,000 Ending inventory 1,500,000 Cost of goods sold 4,740,000 Gross profit 2,670,000 Operating expenses Selling expenses 460,000 Administrative expenses 630,000 1,090,000 Net income $1,580,000 Additional information: 1. Accounts receivable decreased $300,000 during the year. 2. Prepaid expenses increased $170,000 during the year. 3. Accounts payable to suppliers of merchandise decreased $280,000 during the year. 4. Accrued expenses payable decreased $130,000 during the year. 5. Administrative expenses include depreciation expense of $60,000. Prepare the operating activities section of the statement of cash flows for the year ended December 31, 2020, for Cullumber Company, using the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

Name: CULLUMBER COMPANYINCOME STATEMENTFOR THE YEAR ENDED DECEMBER 31, 2020
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Description: CULLUMBER COMPANYINCOME STATEMENTFOR THE YEAR ENDED DECEMBER 31, 2020Sales revenue$7,410,000Cost of goods soldBeginning inventory$1,880,000Purchases4,360,000Goods available for sale6,240,000Ending inventory1,500,000Cost of goods sold4,740,000Gross p

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter7: Inventories: Cost Measurement And Flow Assumptions

Section: Chapter Questions

Problem 8P: Comprehensive The following information for 2019 is available for Marino Company: 1. The beginning...

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