Cash Flow from Operating Activities (Indirect Method) Cairo Company had a $22,000 net loss from operations. Depreciation expense for the year was $9,600, and a dividend of $7,000 was declared and paid. The balances of the current asset and current liability accounts at the beginning and end of the year are as follows:

	End	Beginning
Cash	$3,850	$7,700
Accounts receivable	17,600	27,500
Inventory	55,000	58,300
Prepaid expenses	6,600	9,900
Accounts payable	13,200	8,800
Accrued liabilities	5,500	8,360

Did Cairo Company's operating activities provide or use cash? Use the indirect method to determine your answer.

Use negative signs with cash outflow answers.

	Net Loss		$Answer
	Add (deduct) items to convert net loss to cash basis
	Depreciation		Answer
	Accounts Receivable	Decrease	Answer
	Inventory	Decrease	Answer
	Prepaid Expenses	Decrease	Answer
	Accounts Payable	Increase	Answer
	Accrued Liabilities	Decrease	Answer
	Cash Provided by Operating Activities		$Answer
	Cairo Company's operating activities	Provided	$Answer cash.