Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Matlock Company reported total sales revenue of $55,000 and total expenses amounting to $45,000 (ie, profit of $10,000) on its income statement for the year

Matlock Company reported total sales revenue of $55,000 and total expenses amounting to $45,000 (ie, profit of $10,000) on its income statement for the year ended December 31, 20X2 During 20X2, trade receivables decreased by $4,000, merchandise inventory decreased by $6,000, trade payables increased by $2,000 and depreciation of $8,000 was recorded. Therefore, based only on this information, the net cash flow from operating activities for 20X2 would be which of the following:

A) $10,000 

B) $18,000 

C) $19,000 

D) $30,000 

E) None of the above is correct.

Step by Step Solution

3.47 Rating (157 Votes )

There are 3 Steps involved in it

Step: 1

Matlock Company Net cash flows from Operating activity Particulars Net income for the period 20B 1... blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Intermediate Accounting 2014 FASB Update

Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield

15th edition

978-1118938782, 111893878X, 978-1118985311, 1118985311, 978-1118562185, 1118562186, 978-1118147290

More Books

Students also viewed these Law questions