00, 12. Monster Cookie Ltd. reported a loss of $12,000 for the year. During the year, accounts receivable decreased $5,000, merchandise inventory increased $4,000, accounts payable increased by $13,000, and depreciation expense of $7,000 was recorded. Using the indirect method, operating activities (a) used net cash of $33,000. (b) used net cash of $23,000. (c) provided net cash of $9,000. (d) provided net cash of $7,000. Inve F 13. Using the indirect method, which of the following would be added to profit? (a) increase in accounts receivable (b) increase in prepaid expenses (c) depreciation expense (d) decrease in accounts payable 8 14. Profit reported for the current year was $200,000. Depreciation expense was $35,000. During the year, Accounts Receivable and Merchandise Inventory increased $18,000 and $26,000, respectively. Prepaid Expenses and Accounts Payable decreased $4,000 and $9,000, respectively. There was also a loss on the sale of equipment of $6,000. Using the indirect method, how much cash was provided by operating activities? (a) $182,000 (b) $192,000 (c) $210,000 (d) $244,000 15. Issue of preferred shares for cash: (a) operating activities section (b) investing activities section (c) financing activities section (d) does not represent a cash flow