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Avatar Auto Parts Company is preparing its statement of cash flows using the indirect method. Refer to the following portion of the comparative balance sheet:
Avatar Auto Parts Company is preparing its statement of cash flows using the indirect method. Refer to the following portion of the comparative balance sheet:
Avatar Company |
Comparative Balance Sheet |
December 31, 2014 and 2013 |
2014 | 2013 | Increase/decrease | |
Accounts Payable | $4,000 | $ 6,000 | $(2,000) |
Accrued Liabilities | 2,000 | 1,000 | 1,000 |
Long-Term Notes Payable | 56,000 | 64,000 | (8,000) |
Total liabilities | $62,000 | $71,000 | $(9,000) |
Additional information provided by the company includes the following: 1) During 2014, the company repaid $35,000 of Long-Term Notes Payable. 2) During 2014, the company borrowed $27,000 on a new Note Payable. Based on the above information only, what amount of net cash flow would be shown in the financing section of the statement of cash flows?
$(62,000) | ||
$8,000 | ||
$62,000 | ||
$(8,000) |
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