A company's income statement showed the following: net income, $126,000; depreciation expense, $37,000; and gain on sale of plant assets, $13,000. An examination of the company's current assets and current liabilities showed the following changes as a result of operating activities: accounts receivable decreased $9,500; merchandise inventory increased $17,500; prepaid expenses decreased $6,900; accounts payable increased $3,400. Calculate the net cash provided or used by operating activities.

a)$152,300.

b)$64,500.

c)$213,300.

d)$119,500.

e) $138,600.

question 2

Given the following information, determine the amount of cash flows from investing and financing activities.

Net Income	$58,000
Loss on sale of plant assets	19,000
Cash received from sale of plant assets	35,000
Cash received from issuing stock	80,000
Increase in income taxes payable	120,000

Cash used by investing activities, $35,000; Cash used by financing activities, $61,000.

Cash provided by investing activities, $16,000; Cash provided by financing activities, $80,000.

Cash used by investing activities, $16,000; Cash used by financing activities, $80,000.

Cash provided by investing activities, $35,000; Cash provided by financing activities, $61,000.

Cash provided by investing activities, $35,000; Cash provided by financing activities, $80,000.