Problem 12-5A Bramble Corp.\'s income statement contained the condensed informat
ID: 2391187 • Letter: P
Question
Problem 12-5A Bramble Corp.'s income statement contained the condensed information below. Bramble Corp. Income Statement For the Year Ended December 31, 2017 $3,171,900 Service revenue Operating expenses, excluding depreciation 2,007,780 Depreciation expense Loss on disposal of plant assets Income before income taxes Income tax expense Net income 179,850 52,320 2,239,950 931,950 183,120 $748,830 Bramble Corp.'s balance sheet contained the compartive data at December 31 2017 2016 Accounts receivable Accounts payable Income taxes payable $228,900 134,070 42,510 $196,200 104,640 22,890 Accounts payable pertain to operating expenses. Prepare the operating activities section of the statement of cash flows using the indirect parenthesis e.g. (15,000).)Explanation / Answer
Prepare operating activities indirect method :
Net income 748830 Adjustment to reconcile net income Depreciation expense 179850 Loss on disposal of plant assets 52320 Increase account receivable -32700 Increase account payable 29430 Increase income tax payable 19620 248520 Net cash flow from operating activities 997350