36 TB MC Qu. 13-95 Krech Corporation's comparative ... . Krech Corporation's comparative balance sheet appears below: 10 points Beginning Balance Skipped Comparative Balance Sheet Ending Balance Assets Current assets: Cash and cash equivalents $ 31,900 Accounts receivable 13.990 Inventory 58,800 Prepaid expenses 12,800 Total current assets 119,000 Property, plant, and equipment 374,000 Less accunulated depreciation 190, 290 Net property, plant, and equipnent 184,888 $303,800 Total assets Liabilities and stockholders' equity: Current liabilities: Accounts payable $ 13,890 Accrued liabilities 52,990 Income taxes payable 67,000 Total current liabilities 132.000 Bonds payable 76,880 Total liabilities 208,880 Stockholders' equity: Conan stock 28,90 Retained earnings 67,890 Total stockholders' equity 95,880 Total liabilities and stockholders' $303,800 equity $ 28,000 20,000 56,000 10,000 114,000 354,68 165,000 189,000 $383,000 53,000 69,00 131,898 73,000 294,000 26,000 73,000 99,000 $383,000 The company's net income (local for the year was ($3,000) and its cash dividends ware $3,000. It did not sell or ratine any property, plant and equipment during the year. The company uses the indirect mathed to determine the net cash provided by operating activities Which of the following is correct regarding the operating activities section of the statement of cash flows? Multiple Choice The change in Accounts Receivable will be subtracted from net income; The change in Inventory will be added to net income The change in Accounts Receivable will be added to net income: The change in Inventory will be subtracted from net income The change in Accounts Receivable will be added to net income: The change in Inventory will be added to net income The change in Accounts Receivable will be subtracted from net income: The change in Inventory will be subtracted from net income