A company had net income of $420,000. Depreciation expense is $52,000.during the year accounts receivable and inventory increased $30,000 and $80,000 respectively. prepaid expenses and accounts payble decreased $4,000 and $8,000 respectively. there was also a loss on the sale of equipment ot $6,000.How much cash was provided by operating activities? The indirect and direct methods of predparing the statement of cash flows are indentical except for the a.significant noncash activity section. b.significant activities section c.investing activities section. d.financing activities. 27using the indirect method, if equipment is sold at a gain, the a.sale proceeds received are deducted in the operating activities section. b.sale proceeds received are added in the operating activities section. c.amount of the gain is added in the operating activities section. d.amount of the gain is deducted in the operating activities section. 28. The statement of cash flows a.is prepared instead of an income statement under generally accepted accounting principles. b.is used to assess an entity's ability to pay dividends and meet obligations. c.is prepared from comparative income statements. d.reflects earnings per share figures on a cash basis and on an accrual basis in the body of the statement. 29. When equipment is sold for cash, the amount received is reflected asa cash a.inflow in the operating section. b.inflow in the financing section. c.inflow in the investing section. d.outflow in the operating