The accounting records of Midwest Distributors. Inc., reveal the following:

Requirement
Prepare the cash flows from operating activities by section of the statement of cash flows using the indirect method. Use the format of the operating activities section of Exhibit 12-6. Also evaluate the operating cash flow of Midwest Distributors. Give the reason for your evaluation.

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40,000 Depreciation ex Net income..s. Collectio 7,700 Decrease in current liabilitie Payment of interest.15,000 Decrease in current assets pense $17,000 23,000 n of dividend revenue.. 180,000 Loss on sale of land. Acquisition of land with cash 27,000 Payment of dividends 7,600 12,000 44,000 Payment of income tax