Kennedy, Inc., reported the following data:

Net income	$150,414
Depreciation expense	12,645
Loss on disposal of equipment	(9,312)
Gain on sale of building	20,682
Increase in accounts receivable	8,156
Decrease in accounts payable	(2,184)

Prepare the operating activities section of the statement of cash flows using the indirect method. Use the minus sign to indicate cash outflows, a decrease in cash, cash payments, or any negative adjustments.

Kennedy, Inc. Statement of Cash Flows
Cash flows from (used for) operating activities:
Increase in accounts payableIncrease in accounts receivableLoss on disposal of equipmentNet incomePrepaid insurance	$- Select -
Adjustments to reconcile net income to net cash flows from (used for) operating activities:
Depreciation expenseEquipmentIncrease in accounts payableIncrease in accounts receivableSupplies	- Select -
Decrease in accounts payableIncrease in accounts payableIncrease in accounts receivableLoss on disposal of equipmentSupplies	- Select -
Gain on sale of buildingIncrease in accounts receivableDecrease in accounts receivablePrepaid insuranceSupplies	- Select -
Changes in current operating assets and liabilities:
Gain on sale of buildingIncrease in accounts receivableLoss on disposal of equipmentDepreciation expenseIncrease in accounts payable	- Select -
Decrease in accounts payableDecrease in accounts receivableDepreciation expenseIncrease in accounts payableLoss on disposal of equipment	- Select -
Net cash flow from operating activitiesNet cash flow used for operating activities

Answer rating: 100% (QA)

Solution Cash flow from Operating Activities KENNE... View the full answer