Question 24

A company's income statement showed the following: net income, $115,000; depreciation expense, $30,500; and gain on sale of plant assets, $4,500. An examination of the company's current assets and current liabilities showed the following changes as a result of operating activities: accounts receivable decreased $9,500; merchandise inventory increased $18,500; prepaid expenses increased $6,300; accounts payable increased $3,500. Calculate the net cash provided or used by operating activities.

Multiple Choice

• $141,800.

• $129,200.

• $146,600.

• $167,800.

• $139,800.

The accountant for Crusoe Company is preparing the company's statement of cash flows for the fiscal year just ended. The following information is available:

Retained earnings balance at the beginning of the year	$	136,000
Cash dividends declared for the year		56,000
Proceeds from the sale of equipment		91,000
Gain on the sale of equipment		9,000
Cash dividends payable at the beginning of the year		28,000
Cash dividends payable at the end of the year		32,000
Net income for the year		102,000

What is the ending balance for retained earnings?

Multiple Choice

• $182,000.

• $194,000.

• $212,000.

• $296,000.

• $268,000.