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17 Walker Corp, uses the indirect method to prepare the statement of cash flows. Refer to the followi section of the comparative balance sheet: Walker Corp Comparative Balance Sheet December 31, 2014 and 2013 2013 Increase/decrease 2014 $18,000 3,000 48,000 $69,000 $45,000 48,000 $27,000 45,000 Cash Accounts Receivable Inventory Total assets $273,000 How will the change in Accounts Receivable be shown on the statement of cash flows? A) positive cash flow under the operating activities section B) positive cash flow under the financing activities section C) negative cash flow under the investing activities section D) negative cash flow under the operating activities section 18) While preparing a statement of cash flows using the indirect method, the Depreciation Expense: A) is added back as an adjustment to Net Income in the operating activities section. B) is added back to Purchases of Plant Assets under investing activities. C) is shown as a negative cash flow in the investing activities section. D) is shown as a negative cash flow under operating activities. 19) Which of the following statements accurately describes the statement of cash flows? A) It shows the link between accrual based income and the cash reported on the balance sheet. B) It shows the link between book income and earnings per share. C) It shows the relative proportion of debt and assets. D) It indicates when long-term debt will mature. 20) The purchase of equipment financed by a Long-Term Notes Payable is an example of A) investing activity B) financing activity C) operating activity D) non-cash investing and financing activity 21) Which of the following describes the financing activities section of the statement of cash flows? A) It includes increases and decreases in long-term assets. B) It includes transactions that primarily affect current assets and current liabilities. C) It shows the beginning and ending balances of cash. D) It includes cash transactions affecting the long-term liabilities and equity of the business