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Konverse Company reported net income of $120,000 in 2020. Depreciation expense was $9,000 and amortization expense on patents was $1,500 in 2020. In addition, the
Konverse Company reported net income of $120,000 in 2020. Depreciation expense was $9,000 and amortization expense on patents was $1,500 in 2020. In addition, the balance sheet reported the following balance changes during 2020.
Decrease in accounts receivable | $3,000 |
Increase in debt investments classified as available-for-sale securities | 2,700 |
Decrease in prepaid expenses | 1,200 |
Decrease in accounts payable | 4,800 |
Increase in accrued expenses | 2,700 |
Decrease in short-term nontrade notes payable | 4,800 |
Prepare the operating activities section of the statement of cash flows using the indirect method.
Note: If an item is not required for this statement, leave the answer blank (zero).
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