Net Cash Provided by Operating Activities [LO2]

Changes in various accounts and gains and losses on the sale of assets during the year for Weston Company are given at the top of the next page.

Item Amount Accounts receivable . . . . . . . . . . . . . . . . . . $70,000 decrease Inventory . . . . . . . . . . . . . . . . . . . . . . . . . . $110,000 increase Prepaid expenses . . . . . . . . . . . . . . . . . . . $3,000 decrease Accounts payable . . . . . . . . . . . . . . . . . . . . $40,000 decrease Accrued liabilities . . . . . . . . . . . . . . . . . . . . $9,000 increase Income taxes payable . . . . . . . . . . . . . . . . $15,000 increase Sale of equipment . . . . . . . . . . . . . . . . . . . $8,000 gain Sale of long-term investments . . . . . . . . . . $12,000 loss Required:
For each item, place an X in the Add or Subtract column to indicate whether the dollar amount should be added to or subtracted from net income under the indirect method when computing the net cash provided by operating activities for the year. Use the following column headings in preparing your answers:

Item Amount Add Subtract