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J . Wind lap - Leng X Cengage Learni x + takeAssignment/takeAssignmentMain.do?inprogress=true eBook Show Me How Calculator Changes in Current Operating Assets and Liabilities-Indirect Method

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J . Wind lap - Leng X Cengage Learni x + takeAssignment/takeAssignmentMain.do?inprogress=true eBook Show Me How Calculator Changes in Current Operating Assets and Liabilities-Indirect Method Victor Corporation's comparative balance sheet for current assets and liabilities was as follows: Dec. 31, Year 2 Dec. 31, Year 1 Accounts receivable $22,400 $21,200 Inventory 72,400 73,100 Accounts payable 25,400 25,200 Dividends payable 19,000 18,000 Adjust net income of $80,800 for changes in operating assets and liabilities to arrive at net cash flow from operating activities. $83,000 x Feedback Check My Work Once you have calculated the changes in the current operating assets and liabilities determine what impact those changes would have on cash. For example if accounts receivable has increased from last year to this year does that mean the company has collected more! cash or less cash? If accounts payable has decreased does that mean the company has more cash or less cash Learning Objective 2. J . Wind lap - Leng X Cengage Learni x + takeAssignment/takeAssignmentMain.do?inprogress=true eBook Show Me How Calculator Changes in Current Operating Assets and Liabilities-Indirect Method Victor Corporation's comparative balance sheet for current assets and liabilities was as follows: Dec. 31, Year 2 Dec. 31, Year 1 Accounts receivable $22,400 $21,200 Inventory 72,400 73,100 Accounts payable 25,400 25,200 Dividends payable 19,000 18,000 Adjust net income of $80,800 for changes in operating assets and liabilities to arrive at net cash flow from operating activities. $83,000 x Feedback Check My Work Once you have calculated the changes in the current operating assets and liabilities determine what impact those changes would have on cash. For example if accounts receivable has increased from last year to this year does that mean the company has collected more! cash or less cash? If accounts payable has decreased does that mean the company has more cash or less cash Learning Objective 2

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