With the indirect method of cash flow compute operating activities of stevens utensils. Net income = $200,800 Balance sheet decrease in accounts receivable =13,400 Increase in accounts payable=14,100 Decrease in prepaid expenses=2,300 Loss on the disposal of plant assets = 5,200 Depreciation expenses=47,500

With the indirect method of cash flow compute operating activities of stevens utensils. Net income = $200,800 Balance sheet decrease in accounts receivable =13,400 Increase in accounts payable=14,100 Decrease in prepaid expenses=2,300 Loss on the disposal of plant assets = 5,200 Depreciation expenses=47,500

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter11: The Statement Of Cash Flows

Section: Chapter Questions

Problem 8MCQ: Which item is added to net income when computing cash flows from operating activities? a. Gain on...

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Which item is added to net income when computing cash flows from operating activities? a. Gain on the disposal of property, plant, and equipment b. Increase in wages payable c. Increase in inventory d. Increase in prepaid rent Use the following information for Multiple-Choice Questions 11-9 and 11-10: Cornett Company reported the following information: cash received from the issuance of common stock, $150,000; cash received from the sale of equipment, $14,800; cash paid to purchase an investment, $20,000; cash paid to retire a note payable, $50,000; and cash collected from sales to customers, $225,000.
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