1-
Cowan Inc
Statement of Cash Flows (Partial)
(Indirect Method)
Cash flows from Operating Activities
Net Income 43200
Adjustment to reconcile
net income to net cash
provided by operating activities:
Increase in accounts receivable (22000)
Decrease in Inventories 18600
Decrease in salaries payable
(Operating expenses) (8700)
Increase in accounts payable 13700
Decrease in income taxes payable (2700)
Depreciation expense 16700
Increase in deferred tax liability 4200 19800
Net cash provided by operating activities 63000
2-
Cowan Inc
Statement of Cash Flows (partial)
(Direct Method)
Cash Flows from Operating Activities:
Cash Received from Customers (372700-22000) 350700
Cash paid to suppliers (221800-18600-13700) 189500
Operating Expenses Paid (80800+8700-16700) 72800
Taxes Paid (26900+2700-4200) 25400 287700
Net cash provided by operating activities 63000
