Congress Corporation's accumulated depreciation-equipment account increased by $6,800, while $4,400 of patent amortization was recognized between...

 

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Congress Corporation's accumulated depreciation-equipment account increased by $6,800, while $4,400 of patent amortization was recognized between balance sheet dates. There were no purchases or sales of depreciable or intangible assets during the year. In addition, the income statement showed a loss of $5,200 from the sale of investments. Reconcile a net income of $77,600 to net cash flows from operating activities. Congress Corporation's accumulated depreciation-equipment account increased by $6,800, while $4,400 of patent amortization was recognized between balance sheet dates. There were no purchases or sales of depreciable or intangible assets during the year. In addition, the income statement showed a loss of $5,200 from the sale of investments. Reconcile a net income of $77,600 to net cash flows from operating activities.

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ANSWER To reconcile net income to net cash flows from operating activities using the indirect method ... View the full answer