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    Comparisons: Cash Flow From Operating Activities

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    More Company's net income last year was $37,000. The company paid a cash dividend of $2,000 and did not sell or retire any property, plant and equipment last year. Changes in selected balance sheet accounts for the year appear below:

    Assets & Contra-Assets Increase/(Decrease)
    Accounts Receivable $6,000
    Inventory 5,000
    Prepaid Expenses (3,000)
    Long-term Investments 20,000
    Accumulated Depreciation 26,000
    Liability Accounts
    Accounts Payable (7,000)
    Income Taxes Payable 8,000

    Based solely on this information, the net cash provided by operating activities under the indirect method of the statement of cash flows would be?

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    Cash flow from operating activities

    Net Income : 37,000
    Depreciation : ...

    Solution Summary

    The solution discusses comparisons regarding the cash flow from operating activities.