The independent cases are listed below that includes all items relevant to operating activities: Case A Case B Case C Sales revenue $ 65,000 $ 55,000 $ 96,000 Cost of goods sold 35,000 26,000 65,000 Depreciation expense 10,000 2,000 26,000 Salaries and wages expense 5,000 13,000 8,000 Net income (loss) 15,000 14,000 (3,000) Accounts receivable increase (decrease) (1,000) 4,000 3,000 Inventory increase (decrease) 2,000 0 (3,000) Accounts payable increase (decrease) 0 2,500 (1,000) Salaries and wages payable increase (decrease) 1,500 (2,000) 1,000 Compute cash flows from operating activities using the direct method. (Amounts to be deducted should be indicated with a minus sign.) Case A Case B Case C Cash Collected from Customers Cash Payments to Suppliers Cash Payments for Salaries and Wages Net Cash Provided by Operating Activities $ 0 $ 0 $ 0

Case A Case B Case C

Cash Collected from Customers $66,000 $51,000 $93,000

Cash Payments to Suppliers ($37,000) ($23,500) ($63,000)

Cash Payments for Salaries and Wages ($3,500) ($15,000) ($7,000)

Net Cash Provided by Operating Activities $25,500 $12,500 $23,000

Explanation:

Case A Case B Case C

Sales revenue 65,000 55,000 96,000

Cost of goods sold 35,000 26,000 65,000

Depreciation expense 10,000 2,000 26,000

Salaries and wages expense 5,000 13,000 8,000

Net income (loss) 15,000 14,000 (3,000)

Accounts receivable increase (decrease) (1,000) 4,000 3,000

Inventory increase (decrease) 2,000 0 (3,000)

Accounts payable increase (decrease) 0 2,500 (1,000)

Salaries and wages payable increase

(decrease) 1,500 (2,000) 1,000

Cash Collected from Customers = Sales revenue - Accounts receivable increase (decrease)

Cash Payments to Suppliers = Cost of goods sold + Inventory increase (decrease) + Accounts payable increase (decrease)

Cash Payments for Salaries and Wages = Salaries and wages expense - Salaries and wages payable increase

(decrease)