Comparative financial statements for Weaver Company follow:

Weaver Company Comparative Balance Sheet at December 31
	This Year				Last Year
Assets
Cash	$	12			$	12
Accounts receivable		294				229
Inventory		158				195
Prepaid expenses		9				5
Total current assets		473				441
Property, plant, and equipment		513				435
Less accumulated depreciation		(81	)			(71	)
Net property, plant, and equipment		432				364
Long-term investments		24				30
Total assets	$	929			$	835
Liabilities and Stockholders' Equity
Accounts payable	$	303			$	225
Accrued liabilities		71				79
Income taxes payable		75				65
Total current liabilities		449				369
Bonds payable		199				172
Total liabilities		648				541
Common stock		162				200
Retained earnings		119				94
Total stockholders equity		281				294
Total liabilities and stockholders' equity	$	929			$	835

Weaver Company Income Statement For This Year Ended December 31
Sales					$	753
Cost of goods sold						449
Gross margin						304
Selling and administrative expenses						222
Net operating income						82
Nonoperating items:
Gain on sale of investments	$	6
Loss on sale of equipment		(1	)			5
Income before taxes						87
Income taxes						24
Net income					$	63

During this year, Weaver sold some equipment for $19 that had cost $30 and on which there was accumulated depreciation of $10. In addition, the company sold long-term investments for $12 that had cost $6 when purchased several years ago. Weaver paid a cash dividend this year and the company repurchased $38 of its own stock. This year Weaver did not retire any bonds.

1. Using the indirect method, determine the net cash provided by/used in operating activities for this year. (List any deduction in cash and cash outflows as negative amounts.)

In the fist line the options are:

• Contribution margin
• Gross margin
• Net income
• Sales

Next

• Contribution margin
• Gross margin
• Net income
• Sales

Next

• Decrease in accounts payable
• Decrease in accounts receivable
• Decrease in accrued liabilities
• Decrease in income taxes payable
• Decrease in inventory
• Decrease in prepaid expenses
• Depreciation
• Gain on sale of investments
• Increase in accounts payable
• Increase in accounts receivable
• Increase in accrued liabilities
• Increase in income taxes payable
• Increase in inventory
• Increase in prepaid expenses
• Loss on sale of equipment

Next

• Decrease in accounts payable
• Decrease in accounts receivable
• Decrease in accrued liabilities
• Decrease in income taxes payable
• Decrease in inventory
• Decrease in prepaid expenses
• Depreciation
• Gain on sale of investments
• Increase in accounts payable
• Increase in accounts receivable
• Increase in accrued liabilities
• Increase in income taxes payable
• Increase in inventory
• Increase in prepaid expenses
• Loss on sale of equipment

Next

• Decrease in accounts payable
• Decrease in accounts receivable
• Decrease in accrued liabilities
• Decrease in income taxes payable
• Decrease in inventory
• Decrease in prepaid expenses
• Depreciation
• Gain on sale of investments
• Increase in accounts payable
• Increase in accounts receivable
• Increase in accrued liabilities
• Increase in income taxes payable
• Increase in inventory
• Increase in prepaid expenses
• Loss on sale of equipment

Next

• Decrease in accounts payable
• Decrease in accounts receivable
• Decrease in accrued liabilities
• Decrease in income taxes payable
• Decrease in inventory
• Decrease in prepaid expenses
• Depreciation
• Gain on sale of investments
• Increase in accounts payable
• Increase in accounts receivable
• Increase in accrued liabilities
• Increase in income taxes payable
• Increase in inventory
• Increase in prepaid expenses
• Loss on sale of equipment

Next

• Decrease in accounts payable
• Decrease in accounts receivable
• Decrease in accrued liabilities
• Decrease in income taxes payable
• Decrease in inventory
• Decrease in prepaid expenses
• Depreciation
• Gain on sale of investments
• Increase in accounts payable
• Increase in accounts receivable
• Increase in accrued liabilities
• Increase in income taxes payable
• Increase in inventory
• Increase in prepaid expenses
• Loss on sale of equipment

Next

• Decrease in accounts payable
• Decrease in accounts receivable
• Decrease in accrued liabilities
• Decrease in income taxes payable
• Decrease in inventory
• Decrease in prepaid expenses
• Depreciation
• Gain on sale of investments
• Increase in accounts payable
• Increase in accounts receivable
• Increase in accrued liabilities
• Increase in income taxes payable
• Increase in inventory
• Increase in prepaid expenses
• Loss on sale of equipment

Next

• Decrease in accounts payable
• Decrease in accounts receivable
• Decrease in accrued liabilities
• Decrease in income taxes payable
• Decrease in inventory
• Decrease in prepaid expenses
• Depreciation
• Gain on sale of investments
• Increase in accounts payable
• Increase in accounts receivable
• Increase in accrued liabilities
• Increase in income taxes payable
• Increase in inventory
• Increase in prepaid expenses
• Loss on sale of equipment

Next

• Decrease in accounts payable
• Decrease in accounts receivable
• Decrease in accrued liabilities
• Decrease in income taxes payable
• Decrease in inventory
• Decrease in prepaid expenses
• Depreciation
• Gain on sale of investments
• Increase in accounts payable
• Increase in accounts receivable
• Increase in accrued liabilities
• Increase in income taxes payable
• Increase in inventory
• Increase in prepaid expenses
• Loss on sale of equipment

Next

• Decrease in accounts payable
• Decrease in accounts receivable
• Decrease in accrued liabilities
• Decrease in income taxes payable
• Decrease in inventory
• Decrease in prepaid expenses
• Depreciation
• Gain on sale of investments
• Increase in accounts payable
• Increase in accounts receivable
• Increase in accrued liabilities
• Increase in income taxes payable
• Increase in inventory
• Increase in prepaid expenses
• Loss on sale of equipment

Next

• Decrease in accounts payable
• Decrease in accounts receivable
• Decrease in accrued liabilities
• Decrease in income taxes payable
• Decrease in inventory
• Decrease in prepaid expenses
• Depreciation
• Gain on sale of investments
• Increase in accounts payable
• Increase in accounts receivable
• Increase in accrued liabilities
• Increase in income taxes payable
• Increase in inventory
• Increase in prepaid expenses
• Loss on sale of equipment

Next

• Net cash provided by operating activities
• Net cash used in operating activities

Weaver Company Statement of Cash FlowsIndirect Method (partial) 0 $ $ 0