Textbook Problem

(Appendix 21.1) Statement of Cash Flows The following is a list of items to be included in Estes Company’s 2019 statement of cash flows:

1. a. payments to suppliers, $31,500
2. b. other operating receipts, $1,200
3. c. payments of dividends, $4,000
4. d. payments of income taxes, $5,000
5. e. collections from customers, $68,400
6. f. payment for purchase of equipment, $18,500
7. g. payments to employees, $19,300
8. h. interest and dividends collected, $7,100
9. i. other operating payments, $900
10. j. proceeds from issuance of bonds, $11,300
11. k. payments of interest, $8,400
12. l. proceeds from sale of investments, $6,000
13. m. beginning cash balance, $28,400

Required:

1. 1. Prepare the statement of cash flows using the direct method for operating cash flows.
2. 2. Next Level Under IFRS, which items may be classified differently than under U.S. GAAP?