Donegal Industries reported net income of $ 67,000 for the current year. The balances and activity in its accounts receivable accounts are shown below. In addition, it recorded $ 3,300 of bad debt expense and wrote off $ 2,800 of uncollectible accounts.

Required
Prepare the operating section of the cash flow statement under the indirect method.

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Accounts Accounts Receivable Allowance End of Year Beginning of Year $39,000 3,500 $43,000 3,000 Activity Bad Debt Expense Write-offs S 3,300 2,800