8. A flexible budget can be prepared for which of the following budgets comprising the master budget? A) Direct materials B) Sales C) Overhead D) All of these. 9. Which of the following would be added to net income using the indirect method? An increase in accounts receivable A) B) C) D) Depreciation expense A decrease in accounts payable An increase in prepaid expenses 10. Capital expenditure proposals are initially screened by the A) stockholders. B) capital budgeting committee. C) executive committee. D) board of directors. 11. A company had net income of $210,000. Depreciation expense is $26,000. During the year, Accounts Receivable and Inventory increased $15,000 and $40,000, respectively. Prepaid Expenses and Accounts Payable decreased $2,000 and $4,000, respectively. There was also a loss on the sale of equipment of $3,000. How much cash was provided by operating activities? A) $256,000 B) $176,000 C) $182,000 D) $268,000