35.The net income reported on the income statement for the current year was $272,468. Depreciation recorded on fixed assets and amortization of patents for the year were $38,497 and $8,949, 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	$47,511	$52,352
Accounts receivable	$122,943	$108,502
Inventories	$102,382	$85,328
Prepaid expenses	$3,504	$8,639
Accounts payable (merchandise creditors)	$47,243	$73,956

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

Select the correct answer.

$266,841

$248,277

$288,419

$349,149

36.One reason that a common-size statement is a useful tool in financial analysis is that it enables the user to

a. determine which companies in a single industry are of the same value.

b. make a better comparison of two companies of different sizes in the same industry.

c. determine which companies in a single industry are of the same size.

d. judge the relative potential of two companies of similar size in different industries.

40.The auditor's report is where the auditor certifies that the financial statements are correct and accurate.

a. True
b. False