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, Year 2 Dec. 31, Year 1 Accounts receivable $22,900 $20,100 59,500 Inventory 52,400 Accounts payable 18,600 23,600 Dividends payable 29,000 27,000 Adjust net income of $123,300 for changes in operating assets and liabilities to arrive at net cash flow from operating activities. $ 118,400