Net income in the current year was only $17,523 compared to the prior-year income of $838,955, but cash flow from operations was $236,480 in the current year and a negative $700,957 in the prior year. Explain the causes of this apparent paradox.

Statement of Cash Flows Cash flow from operating activities: Net income Adjustments to reconcile net income to net Cash provided by operating activities Deferred income taxes Depreciationandamortization316,416181,348 Changes in current assets and current liabilities: Accounts receivable, trade Inventories Prepaid and other current assets Deposits and other assets Accounts payable Accrued expenses (38,267)(1,599,014)(444,794)(24,240)2,017,05961,321(25,947)(1,289,293)(113,205)(83,044)(284,567)170,755 Accrued interest payable, debentures (58,219) Other Income taxes payable Net Cash provided by (used for) operating activities Net cash used for investing activities 236,480 (2,102,892) Net cash (used for) provided by financing activities (315,353) 9.685 .435 The net change in cash and cash equivalents (2,181,765) 4,561,525 3 Other Information: CurrentLiabilitiesTotalLiabilitiesNetSales4,055,4654,620,08520,560,5661,995,6002,184,38617,025,856