Question
Required information [The following information applies to the questions displayed below.] Comparative financial statements for Weaver Company follow: Weaver Company Comparative Balance Sheet at December
Required information [The following information applies to the questions displayed below.] Comparative financial statements for Weaver Company follow: Weaver Company Comparative Balance Sheet at December 31 This Year Last Year Assets Cash $ -11 $ 11 Accounts receivable 307 230 Inventory 158 194 Prepaid expenses 9 5 Total current assets 463 440 Property, plant, and equipment 511 432 Less accumulated depreciation (85 ) (70 ) Net property, plant, and equipment 426 362 Long-term investments 26 32 Total assets $ 915 $ 834 Liabilities and Stockholders' Equity Accounts payable $ 301 $ 225 Accrued liabilities 70 78 Income taxes payable 75 63 Total current liabilities 446 366 Bonds payable 195 172 Total liabilities 641 538 Common stock 160 202 Retained earnings 114 94 Total stockholders equity 274 296 Total liabilities and stockholders' equity $ 915 $ 834 Weaver Company Income Statement For This Year Ended December 31 Sales $ 751 Cost of goods sold 448 Gross margin 303 Selling and administrative expenses 221 Net operating income 82 Nonoperating items: Gain on sale of investments $ 6 Loss on sale of equipment (2 ) 4 Income before taxes 86 Income taxes 24 Net income $ 62 During this year, Weaver sold some equipment for $19 that had cost $31 and on which there was accumulated depreciation of $10. In addition, the company sold long-term investments for $12 that had cost $6 when purchased several years ago. Weaver paid a cash dividend this year and the company repurchased $42 of its own stock. This year Weaver did not retire any bonds. Required: 1. Using the indirect method, determine the net cash provided by/used in operating activities for this year.
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