Explanation The operating activities section of the cash flow of the company MC is given below: MC Statement of Cash Flows - Operating Activities Section (Indirect Method) For the year Operating Activities: Net Income $ 86,000 Adjustments to reconcile net income : Depreciation expense 10,000 Gain on the sale of land $(3,000) Increase in current assets $(9,000) (1) Decrease in current liabilities $(5,000) (2) Total reconciling Adjustments $(7,000) Net cash provided by operating activities $ 79,000 Table (1) Working note: Increase in current assets: Increase = Balance &#

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ISBN: 9780133428377

Author: Karen W. Braun, Wendy M. Tietz

Publisher: PEARSON

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Chapter 13, Problem 13.2SE

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The cash flows from operating activities for the year using indirect method.

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Managerial Accounting (4th Edition)

Ch. 13 - Prob. 1QC Ch. 13 - Prob. 2QC Ch. 13 - Prob. 3QC Ch. 13 - Prob. 4QC Ch. 13 - Prob. 5QC Ch. 13 - Prob. 6QC Ch. 13 - Prob. 7QC Ch. 13 - Prob. 8QC Ch. 13 - Prob. 9QC Ch. 13 - Prob. 10QC

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