Question
An analyst compiled the following information for U Inc. for the year ended December 31, 2021: Net income was $1,800,000. Depreciation expense was $450,000. Interest
An analyst compiled the following information for U Inc. for the year ended December 31, 2021:
Net income was $1,800,000.
Depreciation expense was $450,000.
Interest paid was $225,000.
Income taxes paid were $112,500.
Common stock was sold for $210,000.
Preferred stock (8% annual dividend) was sold at par value of $260,000.
Common stock dividends of $60,000 were paid.
Preferred stock dividends of $20,800 were paid.
Equipment with a book value of $110,000 was sold for $220,000.
Using the indirect method, what was U Inc.'s net cash flow from operating activities for the year ended December 31, 2021?
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