The comparative balance sheets for Chas Company show these changes in noncash current accounts: Accounts Receivable increased

Question:

The comparative balance sheets for Chas Company show these changes in noncash current accounts: Accounts Receivable increased $35,500, Prepaid Expenses decreased $12,800, and Inventory decreased $22,500. Accounts Payable increased $16,000. Calculate net cash provided by operating activities using the indirect method assuming that profit is $300,000 for the year ended June 30, 2021. Depreciation Expense for the year was $32,000 and the company incurred a gain on sale of equipment of $25,000.

Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive... Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...

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