Net income of Trout Company was $44,000. The accounting records reveal depreciation expense of $79,000 as...

 

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Net income of Trout Company was $44,000. The accounting records reveal depreciation expense of $79,000 as well as increases in prepaid rent, salaries payable, and income taxes payable of $59,000, $22,000, and $19,000, respectively. Prepare the cash flows from operating activities section of Trout's statement of cash flows using the indirect method. Note: Amounts to be deducted should be indicated with a minus sign. Cash flows from operating activities: Adjustments for noncash effects: Changes in operating assets and liabilities: Net cash inflows from operating activities Net income of Trout Company was $44,000. The accounting records reveal depreciation expense of $79,000 as well as increases in prepaid rent, salaries payable, and income taxes payable of $59,000, $22,000, and $19,000, respectively. Prepare the cash flows from operating activities section of Trout's statement of cash flows using the indirect method. Note: Amounts to be deducted should be indicated with a minus sign. Cash flows from operating activities: Adjustments for noncash effects: Changes in operating assets and liabilities: Net cash inflows from operating activities

Answer rating: 100% (QA)

To prepare the cash flows from operating activities section of Trout Companys statement of cash flow... View the full answer