Five Lakes Transportation (FLT) began 2020 with accounts receivable, inventory, and prepaid expenses totalling $68,000. At...

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Five Lakes Transportation (FLT) began 2020 with accounts receivable, inventory, and prepaid expenses totalling $68,000. At the end of the year, FLT had a total of $75,000 for these current assets. At the beginning of 2020, FLT owed current liabilities of $44,000, and at year-end, current liabilities totalled $40,000. Net income for the year was $88,000. Included in net income were a $10,000 gain on the sale of land and depreciation expense of $7,000. Show how FLT should report cash flows from operating activities for 2020. FLT uses the indirect method. (Use parentheses or a minus sign for numbers to be subtracted or a net decrease in cash.) Cash flows from operating activities: Net income Adjustments to reconcile net income to net cash provided by operating activities: Depreciation Gain on sale of land Increase in accounts receivable, inventory, and prepaid expenses Decrease in current liabilities Net cash provided by operating activities 7,000 (10,000) -7000 -4000 88,000 Five Lakes Transportation (FLT) began 2020 with accounts receivable, inventory, and prepaid expenses totalling $68,000. At the end of the year, FLT had a total of $75,000 for these current assets. At the beginning of 2020, FLT owed current liabilities of $44,000, and at year-end, current liabilities totalled $40,000. Net income for the year was $88,000. Included in net income were a $10,000 gain on the sale of land and depreciation expense of $7,000. Show how FLT should report cash flows from operating activities for 2020. FLT uses the indirect method. (Use parentheses or a minus sign for numbers to be subtracted or a net decrease in cash.) Cash flows from operating activities: Net income Adjustments to reconcile net income to net cash provided by operating activities: Depreciation Gain on sale of land Increase in accounts receivable, inventory, and prepaid expenses Decrease in current liabilities Net cash provided by operating activities 7,000 (10,000) -7000 -4000 88,000