A company's income statement showed the following: net income, $126,000; depreciation expense, $36,000; and gain on sale of plant assets, $10,000. An examination of the company's current assets and current liabilities showed the following changes accounts receivable decreased $10,600; merchandise inventory increased $24,000; prepaid expenses increased $7,400; accounts payable increased $4,600. Calculate the net cash provided or used by operating activities.

Multiple Choice

• $176,600.

• $155,400.

• $148,600.

• $150,600.

• $135,800.

In preparing a company's statement of cash flows using the indirect method, the following information is available:

Net income	$	53,000
Accounts payable increased by		18,100
Accounts receivable decreased by		25,100
Inventories increased by		5,200
Depreciation expense		30,300

Net cash provided by operating activities was:

Multiple Choice

• $81,500.

• $71,100.

• $121,300.

• $131,700.

• $60,700.

A company's income statement showed the following: net income, $126,000; depreciation expense, $36,000; and gain on sale of plant assets, $10,000. An examination of the company's current assets and current liabilities showed the following changes accounts receivable decreased $10,600; merchandise inventory increased $24,000; prepaid expenses increased $7,400; accounts payable increased $4,600. Calculate the net cash provided or used by operating activities.

Multiple Choice

• $176,600.

• $155,400.

• $148,600.

• $150,600.

• $135,800.

The accountant for Walter Company is preparing the company's statement of cash flows for the fiscal year just ended. The following information is available:

Retained earnings balance at the beginning of the year	$	132,000
Cash dividends declared for the year		52,000
Proceeds from the sale of equipment		87,000
Gain on the sale of equipment		8,200
Cash dividends payable at the beginning of the year		24,000
Cash dividends payable at the end of the year		27,200
Net income for the year		98,000

The amount of cash dividends paid during the year would be:

Multiple Choice

• $260,000.

• $186,000.

• $264,800.

• $288,000.

• $48,800.

A machine with a cost of $152,000 and accumulated depreciation of $96,000 is sold for $48,800 cash. The total amount related to this machine that should be reported in the operating section of the statement of cash flows under the indirect method is:

Multiple Choice

• $4,880.

• $17,700.

• $7,200.

• $71,300.

• $22,500

Ford Company reports depreciation expense of $51,000 for Year 2. Also, equipment costing $174,000 was sold for its book value in Year 2. There were no other equipment purchases or sales during the year. The following selected information is available for Ford Company from its comparative balance sheet. Compute the cash received from the sale of the equipment.

At December 31	Year 2			Year 1
Equipment	$	665,000		$	839,000
Accumulated Depreciation-Equipment		472,000			555,000

Multiple Choice

• $91,000.

• $83,000.

• $51,000.

• $41,500.

• $40,000.

Favre Company reports depreciation expense of $49,000 for Year 2. Also, equipment costing $167,000 was sold for a $10,900 loss in Year 2. The following selected information is available for Favre Company from its comparative balance sheet. Compute the cash received from the sale of the equipment.

At December 31	Year 2			Year 1
Equipment	$	655,000		$	822,000
Accumulated Depreciation-Equipment		464,000			545,000

Multiple Choice

• $37,000.

• $47,900.

• $49,000.

• $70,100.

• $26,100.