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Gates Corporation's accumulated depreciation

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.