Concord Inc.

Comparative Balance Sheet Accounts

As of December $31,2025$ and $2024$Concord Inc. Additional data $($ignoring taxes$)$:

Net income for the year was $$41,300.$

Cash dividends declared and paid during the year were $$21,200.$

A $20\%$ stock dividend was declared during the year. $$25,000$ of retained earnings was capitalized.

Equity investments $($level of ownership is less than $20\%)$ that cost $$24,700$ were sold during the year for $$28,500.$ No

unrealized gains and losses were recorded on these investments in $2025.$

Machinery that cost $$3,700,$ on which $$750$ of depreciation had accumulated, was sold for $$2,150.$

Concord's $2025$ income statement follows $($ignoring taxes$).$

Sales revenue

Less: Cost of goods sold

Gross margin

Less: Operating expenses $($includes $$8,450$ depreciation and $$4,890$ bad debts$)$

Income from operations

Other: Gain on sale of investments

Loss on sale of machinery

Net income Your answer is incorrect.

Compute net cash flow from operating activities using the direct method. $($Enter negative amounts using either a negative sign

preceding the number e$.$g$.-45$ or parentheses e$.$g$.(45).)$

Net cash flow from operating activities $,$$$|$

eTextbook and Media

Attempts: $1$ of $5$ used $($Indirect Method$)$

Cash Flows from Operating Activities

Adjustments to reconcile net income to

$

Increase in Accounts Receivable $($Net$)$

Increase in Inventory

Increase in Accounts Payable

Increase in Accrued Payables

Net Cash Provided by Operating Activities

Comparative Balance Sheet Accounts

As of December $31,2025$ and $2024$Additional data $($ignoring taxes$)$:

Net income for the year was $$41,300.$

Cash dividends declared and paid during the year were $$21,200.$

A $20\%$ stock dividend was declared during the year. $$25,000$ of retained earnings was capitalized.

Equity investments $($level of ownership is less than $20\%)$ that cost $$24,700$ were sold during the year for $$28,500.$ No

unrealized gains and losses were recorded on these investments in $2025.$

Machinery that cost $$3,700,$ on which $$750$ of depreciation had accumulated, was sold for $$2,150.$

Concord's $2025$ income statement follows $($ignoring taxes$).$

Sales revenue

Less: Cost of goods sold

Gross margin

Less: Operating expenses $($includes $$8,450$ depreciation and $$4,890$ bad debts$)$

Income from operations

Other: Gain on sale of investments

Loss on sale of machinery

Net incomeYour answer is incorrect.

Compute net cash flow from operating activities using the direct method. $($Enter negative amounts using either a negative sign

preceding the number e$.$g$.-45$ or parentheses e$.$g$.(45).)$

Net cash flow from operating activities $,$$$|$

eTextbook and Media

Attempts: $1$ of $5$ used$($Indirect Method$)$

Cash Flows from Operating Activities

Adjustments to reconcile net income to

$

Increase in Accounts Receivable $($Net$)$

Increase in Inventory

Increase in Accounts Payable

Increase in Accrued Payables

Net Cash Provided by Operating Activities