Calculating and interpreting cash flows. Kelly Services is the largest temporary- help firm in the United States. Selected data for Kelly Services for three recent years. appear below (amounts in thousands):LO1.

a. Prepare a comparative statement of cash flows for Kelly Services for the three years.

b. Discuss the relation between net income and cash flow from operations and the pattern of cash flow from operating, investing, and financing activities during the three years.

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Year 3 Year 4 Year 5 Net Income $39,225 $44,559 $61,057 Depreciation Expense 13,977 16,614 17,309 Inc. (Dec.) in Marketable Securities (31,571) (9,614) (2.265) Inc. (Dec.) in Accounts Receivable 32,273 39,116 59,317 Inc. (Dec.) in Prepayments 2,340 2,656 9.137 Inc. (Dec.) in Salaries Payable 14,793. 14,465 34.460 Inc. (Dec.) in Other Current Liabilities. (21.203) 12,600 20.241 Acquisition of Property, Plant, and Equipment 32,449 16,056 18.433 Dividends Paid 21,999 23,846 26,570 Common Stock Issued 1,617 1,031 373