1.Accounts receivable from sales transactions were $47,895 at the beginning of the year and $69,185 at the end of the year. Net income reported on the income statement for the year was $127,009. Exclusive of the effect of other adjustments, the net cash flows from operating activities to be reported on the statement of cash flows prepared by the indirect method would be

a.$127,009

b.$21,290

c.$105,719

d.$148,299

2. The net income reported on the income statement for the current year was $311,801. Depreciation recorded on fixed assets and amortization of patents for the year were $37,259 and $9,967, respectively. Balances of current asset and current liability accounts at the end and at the beginning of the year are as follows:

	End	Beginning
Cash	$38,942	$63,508
Accounts Receivable	126,551	103,385
Inventories	101,115	92,230
Prepaid Expenses	2,638	8,485
Accounts Payable (merchandise creditors)	47,441	70,594

What is the amount of the net cash flows from operating activities reported on the statement of cash flows prepared by the indirect method?

a.$308,776

b.$402,308

c.$326,976

d.$309,670

3.The following information is available from the current period financial statements:

Net income	$117,033
Depreciation expense	21,224
Increase in accounts receivable	15,266
Decrease in accounts payable	(18,129)

The net cash flows from operating activities using the indirect method is

a.$171,652

b.$117,033

c.$62,414

d.$104,862

4. A company had net income of $260,981. Depreciation expense was $23,023. During the year, accounts receivable and merchandise inventory increased by $14,154 and $32,677, respectively. Prepaid expenses and accounts payable decreased by $2,934 and $5,527, respectively. There was also a loss on the sale of equipment of $4,532. How much was the net cash flows from operating activities on the statement of cash flows using the indirect method?

a.$239,112

b.$288,536

c.$230,048

d.$272,606

5.A corporation uses the indirect method of preparing the statement of cash flows. A fixed asset has been sold for $25,935, representing a gain of $3,626. The value of this transaction appearing in the operating activities section of the statement of cash flows is

a.$29,561

b.$25,935

c.$(3,626)

d.$22,309