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Newark Company has provided the following information:Cash sales, $510,000Credit sales, $1,410,000Selling and administrative expenses, $390,000Sales returns and allowances, $96,000Gross profit, $1,420,000Increase in accounts receivable, $61,000Bad
Newark Company has provided the following information:Cash sales, $510,000Credit sales, $1,410,000Selling and administrative expenses, $390,000Sales returns and allowances, $96,000Gross profit, $1,420,000Increase in accounts receivable, $61,000Bad debt expense, $39,000Sales discounts, $49,000Net income, $1,030,000What is the effect of collections from customers on cash flow from operating activities, using the indirect method?
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