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    Gates Corporation's accumulated depreciation

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    Gates Corporation's accumulated depreciation-equipment increased by $8,000, while patents decreased by $5,200 between balance sheet dates. There were no purchases or sales of depreciable or intangible assets during the year. In addition the income statement showed a loss of $6,000 from the sale of investments. Reconcile a net income of $90,000 to net cash flow from operating activities.

    What is the net cash flow from operating activities?

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    Cash Flow from Operating Activities:

    Net Income $90,000
    Add: Depreciation $8,000
    Add: Loss on Sale of Equipment $6,000
    Add: Amortization of Intangible Assets $5,200

    Net cash ...

    Solution Summary

    Gates Corporation's accumulated depreciation are discussed.