The cash flows from operating activities are reported by the direct method on the statement of cash flows. Determine the following: (a) If sales for the current year were $\$ 375,000$ and accounts receivable increased by $\$ 29,000$ during the year, what was the amount of cash received from customers?
(b) If income tax expense for the current year was $\$ 39,000$ and income tax payable decreased by $\$ 21,000$ during the year, what was the amount of cash payments for income tax?

Question

Quizplus · Accepted Answer

The Answer of The cash flows from operating activities are reported by the direct method on the statement of cash flows. Determine the following: (a) If sales for the current year were $\$ 375,000$ and accounts receivable increased by $\$ 29,000$ during the year, what was the amount of cash received from customers?
(b) If income tax expense for the current year was $\$ 39,000$ and income tax payable decreased by $\$ 21,000$ during the year, what was the amount of cash payments for income tax?

The Cash Flows from Operating Activities Are Reported by the Direct