Changes in Current Operating Assets and Liabilities Indirect Method Covington Corporation's comparative balance sheet for current assets and liabilities was as follows: Dec. 31, 2012 Dec. 31, 20Y1 Accounts receivable $21,400 $20,400 Inventory 51,900 52,600 Accounts payable 27,500 27,100 Dividends payable 28,000 26,000 Adjust net income of $118,800 for changes in operating assets and liabilities to arrive at net cash flow from operating activities. $