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Sherman Industries began 2021 with its accounts receivable, inventory, and prepaid expenses totaling $48,000 and its total current liabilities totaling $31.000. At the end
Sherman Industries began 2021 with its accounts receivable, inventory, and prepaid expenses totaling $48,000 and its total current liabilities totaling $31.000. At the end of the year, these same current assets totaled $49,000, while its total current liabilities totaled $22,000. Net income for the year was $83,000. Included in net income were a $2,000 loss on the sale of land and depreciation expense of $5,000 Show how Sherman should report cash flows from operating activities for 2021. The company uses the indirect method. (Use parentheses or a minus sign for numbers to be subtracted and for a net decrease in cash) Cash flows from operating activities: Adjustments to reconcile net income to net cash provided by (used for) operating activities: Net cash provided by (used for) operating activities
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