Practice Problem #2 The following information was taken from the nancial records of the W Company. End of Year Beginning of Year Cash $345,000 $386,000 Accounts Receivable 554,300 567,800 Merchandise Inventory 693,000 672,400 Prepaid Expenses 27,000 24,000 Accounts Payable (creditors) 510,000 527,400 Wages Payable 39,500 36,000 The net income reported on the income statement for the current year was $465,000, which included a gain on sale of investments of $3,000. Depreciation expense recorded on store equipment for the year amounted to $99,800. Required: Using the indirect method prepare the operating activities section Page 10 of 24