Calculating Net Cash Flow from Operating Activities (Indirect Method) The following information was obtained from Galena Company's comparative balance sheets. Assume that Galena Company's 2016 income statement showed depreciation expense of $16,000, a gain on sa investments of $18,000, and net income of $90,000. Dec. 31, 2016 Dec. 31, 2015 Cash $38,000 $18,000 Accounts receivable 88,000 70,000 Inventory 110,000 98,000 Prepaid rent 12,000 16,000 Long-term investments 42,000 68,000 Plant assets 300,000 212,000 Accumulated depreciation 80,000 64,000 Accounts payable 48,000 40,000 Income tax payable 8,000 12,000 Common stock 242,000 184,000 Retained earnings 212,000 182,000 Calculate the net cash flow from operating activities using the indirect method. Instructions: Use negative signs with answers that reduce cash provided by operating activities. Enter accounts in alphabetical order, when needed. Calculate the net cash flow from operating activities using the indirect method. Instructions: Use negative signs with answers that reduce cash provided by operating activities. Enter accounts in alphabetical order, when needed. Net cash flow from operating activities Dec. 31, 2016 Add (deduct) items to convert net income to cash basis Depreciation > Change in operating assets: O Prepaid rent Change in operating liabilities: Accounts payable Net cash provided by operating activities $