Changes in Current Operating Assets and Liabilities - Indirect Method Blue Circle Corporation's comparative balance sheet for current assets and liabilities was as follows: Dec. 31, Year 2 Dec. 31, Year 1 Accounts receivable $14,400 $18,000 Inventory 76,300 66,900 Accounts payable 33,800 29,100 Dividends payable 24,000 26,000 Adjust net income of $116,600 for changes in operating assets and liabilities to arrive at net cash flow from operating activities