Question: When using the indirect method to prepare the statement of cash flows, net income is $25,000. There was a gain on disposal of an asset

When using the indirect method to prepare the statement of cash flows, net income is $25,000. There was a gain on disposal of an asset of $2,500, depreciation expense of $400, an increase in Accounts Receivable of $1,000, and a decrease in Accounts Payable of $2,500. What is the net cash flow from operating activities? A. $26,900 B. $31,400 C. $19,400 D. $21,900

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock blur-text-image

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

When using the indirect method to prepare the statement of cash flows, net income is $23,000. There was a gain on disposal of an asset of $6,000, depreciation expense of $650, an increase in Accounts...

QUESTION 3 3 When using the indirect method to prepare the statement of cash flows, net income is $ 2 8 , 0 0 0 . There was a gain on disposal of an asset of $ 4 , 5 0 0 , depreciation expense of $ 5...

QUESTION 3 3 When using the indirect method to prepare the statement of cash flows, net income is $ 2 8 , 0 0 0 . There was a gain on disposal of an asset of 3 points $ 4 , 5 0 0 , depreciation...

6 25 points When using the indirect method to prepare the statement of cash flows, net income is $24,000. There was a gain on disposal of an asset of $5,000, depreciation expense of $700, an increase...

When using the indirect method to prepare the statement of cash flows, net income is $17,000. There was a gain on disposal of an asset of $5,500, depreciation expense of $800, an increase in Accounts...

When using the indirect method to prepare the statement of cash flows, net income is $18,000. There was a gain on disposal of an asset of $1,500, depreciation expense of $850, a decrease in Accounts...

When using the indirect method to prepare the statement of cash flows, net income is $27,000. There was a gain on disposal of an asset of $7,000,depreciation expense Accounts Receivable of $3,500,...

When using the indirect method to prepare the statement of cash flows, net income is $25,000. There was a gain on disposal of an asset of $4,500,depreciation expense of $650, an increase in Accounts...

Samuois Mexican Restaurant incurred salanes expense of 559,000 lor 2024 . The payroll expense includes employer FicA tax, an addition to state unemploymeol lax and foderal unemployment tax. Or the...

indirect method to prepare the statement of cash flows, net income is $24,000. There was a gain on disposal of an asset of $5,000, deprec 0 , an increase in Accounts Receivable of $4,000, and a...

The following model was fitted to observations from 1972 to 1979 in an attempt to explain oil-pricing behavior: Where y` = difference between price in the current year and price in the previous year,...

Two-Stage Dividend Growth Model Chartreuse County Choppers Inc. i experiencing rapid growth, the company expect dividends to grow at 25 percent per year for the next nine years before leveling off at...

The Sisyphonpany has a bond outstanding with a face value of $5,000 that reaches maturity in 8 years. The bond certificate indicates that the stated coupon rate for this bond is 8.1% and that the...

cons and pros about Leading and Lagging Indicators: Definition and Importance

Compare and contrast what you read about John W. Thompson versus his interview on www.youtube.com/ watch?v=7i36K5JZJbA. What is stereotyping and how did that affect his career path according to the...

How does Gore & Associates depict an organization that fully appreciates the systems effect?

Of the three ways to handle human relations problems, which ones are the easiest and hardest for you?