1)

Use the information provided, prepare the Operating activities section of the statement of cash flows using the indirect method.

Cash	50,000 increase			Accounts Payable	81,000 decrease
Accounts Receivable	25,000 decrease			Unearned Revenue	11,000 increase
Inventory	70,000 increase			Long Term Notes Payable	35,000 increase
Office Supplies	1,100 decrease
Depreciation Expense	12,500			Gain on Sale of Trucks	1,500
Net Income	62,000

Description	Amount	Total
Subcategory,Cash Flows from Operating Activities:
Subcategory,Adjustments to reconcile net income to net cash
Total Adjustment
Net Cash Provided by Operating ActivitiesNet Cash Used by Operating Activities