13,896 Cash flows from operating activities Selected data derived from the income statement and balance sheet of National Beverage Co. for a recent year are as follows: Income statement data (in thousands): Net income $147,809 Loss on disposal of property (130) Depreciation expense other items involving noncash expense 754 Balance sheet data (In thousands) Increase in accounts receivable 12,222 7.172 Increase in prepaid expenses 9,262 Increase in accounts payable and other current abilities 16,119 This information has been collected in the Microsoft Excel Online file Open the spreadsheet, perform the required analysis, and input your answers in the questions below Increase in Inventory X Open spreadsheet a. Prepare the Cash Flows from (used for) Operating Activities section of the statement of casti flows, using the indirect method for National Beverage Co. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. Enter the amounts in thousands 147,809 13,896 National Beverage Co. Cash Flows from Operating Activities (in thousands) Cash flows from (used for) operating activities: Net income Adjustments to reconcile net income to net cash flows from (used for) operating activities: Depreciation expense Loss on disposal of property Other items involving noncash expense Changes in current operating assets and liabilities: Increase in accounts receivable Increase in inventory Increase in prepaid expenses Increase in accounts payable and other current liabilities Net cash flows from operating activities 130 754 12,222 7.172 9,263 16,119 b. The company has positive earnings and positive net cash flow from operating activities. The increase in accounts receivable indicates an) decrease in sales. In addition, the company is using itu cash to decrease its accounts payable balance, which indicates that the company is falling behind in its payments to vendors Overall, National Beverage is doing coorly financially