1. Assume net income was $100,000, depreciation expense was $8,000, accounts receivable decreased by $7,500, and accounts payable decreased by $2,500. The amount of net cash flows from operating activities is:

		$103,000.
		$100,000.
		$108,000.
		$113,000.

2. Mary's Music Store reported net income of $135,000. Beginning balances in Accounts Receivable and Accounts Payable were $29,000 and $26,000, respectively. Ending balances in these accounts were $30,000 and $24,000, respectively. Assuming that all relevant information has been presented, Mary's net cash flows from operating activities would be:

		$132,000.
		$134,000.
		$136,000.
		$138,000.

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