2) The following information was taken fromthe financial records of the W Company. Endof Year Beginning of Year Cash Rwf 345,000Rwf 386,000 Accounts Receivable 554,30O567,800 Merchandise Inventory 693,000672,400 Prepaid Expenses 27,000 24,000Accounts Payable (creditors) 510,000 527,400Wages Payable 39,500 36,000 The netincome reported on the income statement forthe current year was Rwf 465,000, whichincluded a gain on sale of investments of Rwf3,000. Depreciation expense recorded onstore equipment for the year amounted toRwf 99,800. Required: Using the indirectmethod prepare the operating activitiessection

Operating activities: These are defined as the functions of the business that relates directly to…

2) The following information was taken from the financial records of the W Company. End of Year Beginning of Year Cash Rwf 345,000 Rwf 386,000 Accounts Receivable 554,300 567,800 Merchandise Inventory 693,000 672,400 Prepaid Expenses 27,000 24,000 Accounts Payable (creditors) 510,000 527,400 Wages Payable 39,500 36,00O The net income reported on the income statement for the current year was Rwf 465,000, which included a gain on sale of investments of Rwf 3,000. Depreciation expense recorded on store equipment for the year amounted to Rwf 99,800. Required: Using the indirect method prepare the operating activities section

2) The following information was taken from the financial records of the W Company. End of Year Beginning of Year Cash Rwf 345,000 Rwf 386,000 Accounts Receivable 554,300 567,800 Merchandise Inventory 693,000 672,400 Prepaid Expenses 27,000 24,000 Accounts Payable (creditors) 510,000 527,400 Wages Payable 39,500 36,00O The net income reported on the income statement for the current year was Rwf 465,000, which included a gain on sale of investments of Rwf 3,000. Depreciation expense recorded on store equipment for the year amounted to Rwf 99,800. Required: Using the indirect method prepare the operating activities section

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter14: Statement Of Cash Flows

Section: Chapter Questions

Problem 35E: Jarem Company showed 189,000 in prepaid rent on December 31, 20X1. On December 31, 20X2, the balance...

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