CAYABYAB, LHEA MAE O.

BACHELOR OF SCIENCE IN ACCOUNTANCY 1

DIRECT METHOD INDIRECT METHOD

LMN COMPANY LMN COMPANY
STATEMENT OF CASHFLOWS STATEMENT OF CASHFLOWS
FOR THE YEAR ENDED DECEMBER 31, 2022 FOR THE YEAR ENDED DECEMBER 31, 2022

CASHFLOW FROM OPERATING ACTIVITIES: CASHFLOW FROM OPERATING ACTIVITIES:

Cash Receipts: Net Income 32,000.00
Cash Received from Customers 440,000.00 Adjustments to reconcile net income to net cash provided by OA:
Cash Payments To: Decrease in Accounts Receivable 30,000.00
Suppliers 70,000.00 Increase in Inventory (40,000.00)
Employee 120,000.00 Depreciation Expense 60,000.00
Income Taxes 9,000.00 Increase in Accounts Payable 20,000.00
Interest 12,000.00 Increase in Wages Payable 20,000.00
Net Cash Provided by Operating Activities 229,000.00 Decrease in Interest Payable (2,000.00)
CASHFLOW FROM INVESTING ACTIVITIES Decrease in Income Tax Payable (1,000.00)
Purchase of PPE (300,000.00) Increase in Unearned Revenue 110,000.00
Net Cash Provided by Investing Activities (300,000.00) Net Cash Provided by Operating Activities 229,000.00
CASHFLOW FROM FINANCING ACTIVITIES CASHFLOW FROM INVESTING ACTIVITIES:
Proceed from Common Stock issued 100,000.00 Purchase of PPE (300,000.00)
Net Cash Provided by Financing Activities 100,000.00 Net Cash Provided by Investing Activities (300,000.00)
Net increase in Cash and Cash Equivalents 29,000.00 CASHFLOW FROM FINANCING ACTIVITIES:
Cash and Cash Equivalents at Beginning of Year 501,000.00 Proceed from Common Stock issued 100,000.00
Cash and Cash Equivalents at End of Year 530,000.00 Net Cash Provided by Financing Activities 100,000.00
Net increase in Cash and Cash Equivalents 29,000.00
Cash and Cash Equivalents at Beginning of Year 501,000.00
Cash and Cash Equivalents at End of Year 530,000.00