Toyota introduced a new mid-sized suv, which it priced at $30,000. however, many customers did not want to buy this new model because many competitors were offering a similar car for $27,000. therefore, toyota informed its prospective customers that in addition to the equivalent cost of the car, they were also receiving services above that of the competition. toyota's car care service is valued at $4,000 and the extended warranty is valued at $2,000. therefore, when buying the toyota suv for $30,000, the customers are actually receiving a discount of $3,000. this technique is known as unbundling price value-based pricing benefit analysis cost analysis bundling price

Prepare the operating activities section—indirect method.(lo 4), apthe income statement of paxson company is presented here. paxson companyincome statementfor the year ended november 30, 2014sales revenue $7,600,000cost of goods sold beginning inventory$1,900,000 purchases4,400,000goods available for sale6,300,000 ending inventory1,600,000total cost of goods sold 4,700,000gross profit 2,900,000operating expenses selling expenses450,000 administrative expenses700,0001,150,000net income $1,750,000additional information: prepare the operating activities section—indirect 1. accounts receivable decreased $380,000 during the year, and inventory decreased $300,000.2. prepaid expenses increased $150,000 during the year.3. accounts payable to suppliers of merchandise decreased $350,000 during the year.4. accrued expenses payable decreased $100,000 during the year.5. administrative expenses include depreciation expense of $110,000.instructionsprepare the operating activities section of the statement of cash flows for the year ended november 30, 2014, for paxson company, using the indirect method. net cash provided $1,940,000