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Mr. Smith's Flower Shop reported net income of $73,000 for 2015. Inclued in the income statement were depreclation expense of $7,000 and a loss on
Mr. Smith's Flower Shop reported net income of $73,000 for 2015. Inclued in the income statement were depreclation expense of $7,000 and a loss on disposal of plant assets of $2,500. His comparative blance sheets (2014 & 2015) also showed an increase in inventory of $4,000 and a decrease in accounts payable of $3,800. Calculate net cash provided bu operating activities using the Indirect method.
Net Income Adjustments to reconcile net income to net cash Provided by operating activities: Depreciation Expense Loss on Disposal of plant assets Increase in inventory Decrease in Accounts Payable Net Cash provided by operating activitiesStep by Step Solution
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