1. Question Content Area

   A company had net income of $264,017. Depreciation expense was $24,720. During the year, accounts receivable and merchandise inventory increased by $17,035 and $30,872, respectively. Prepaid expenses and accounts payable decreased by $2,889 and $7,530, respectively. There was also a loss on the sale of equipment of $5,031. How much was the net cash flows from operating activities on the statement of cash flows using the indirect method?

   a.$284,572

   b.$231,158

   c.$241,220

   d.$293,768