What ethical issues are posed by the decisions to bypass animal testing

Answer and Explanation:

Th preparation of the  cash flow statement using the indirect method is presented below:

Cash flow from operating activities    

Net income $12,300  

Adjustments made

Add: Depreciation expense $8,700

Add: Decrease in account receivable $900  ($12,500 - $15,400)

Less: Increase in inventory -$23,100  ($112,100 - $89,000)

Less: decrease in accounts payable -$2,300 ($29,900 - $32,200)

Less: Decrease in salaries payable -$200 ($500 - $700)

Net cash used by operating activities -$1,700  (A)

Cash from investing activities

Purchase of Equipment    -$9,400  ($62,100 - $52,700)

Net cash used by investing activities -$9,400  (B)

Cash from financing activities

Cash from stock issue $10,800   ($156,300 - $145,500)

Net cash provided by financing activities $10,800   (C)

Net decrease in cash -300  (A + B + C)

Add: Beginning cash balance $55,900

Ending year cash balance $55,600

The minus sign indicated the outflow of cash and positive sign indicates the inflow of cash and according to that the adjustment are made i.e shown above