QUESTION 3 Adam Company reported a net income of $8,000 for the year ended December 31, 2021. During the year, accounts receivable increased $15,000, merchandise inventory decreased $12,000, accounts payable decreased by $20,000, and depreciation expense of $10,000 was recorded. During 2021, operating activities a, provided net cash of $3,000. b.used net cash of $5,000. c. used net cash of $15,000. d. used net cash of $2,000.

QUESTION 3 Adam Company reported a net income of $8,000 for the year ended December 31, 2021. During the year, accounts receivable increased $15,000, merchandise inventory decreased $12,000, accounts payable decreased by $20,000, and depreciation expense of $10,000 was recorded. During 2021, operating activities a, provided net cash of $3,000. b.used net cash of $5,000. c. used net cash of $15,000. d. used net cash of $2,000.

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 12MCQ: Smoltz Company reported the following information for the current year: cost of goods sold,...

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