QUESTION 3 Partially correct 2.75 points out of 3.00 Flag question Cash Flow from Operating Activities (Indirect Method) The Arcadia Company owns no plant assets and had the following income statement for the year: Sales revenue $1,235,000 $871,000 273,000 54,600 Cost of goods sold Wages exp ense Rent expense Utilities expense 9,500 1,218,100 Net income $16,900 Additional information about the company includes End of Year Beginning of Year Accounts receivable $83,200 Inventory Prepaid rent Accounts payable 28,600 Wages payable $76,700 111,800 9,100 36,400 7,800 78,000 10,400 11,700 Use the preceding information to calculate the cash flow from operating activities using the indirect method Remember to use negative signs with your answers when appropriate Cash Flow from Operating Activities Net Income 16,900 Add (deduct) items to convert net income to cash basis Accounts Receivable Increase (6,500) 33,800 (1,300) (7,800) 3,900 Inventory Decrease Prepaid Rent Increase Accounts Payable Decrease Wages Payable Increase 46,800 X Cash Provided by Operating Activities