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Statement of Cash Flows The Rightway Company uses the indirect method of presenting the Statement of Cash Flows. At 12/31/2014, an investigation of their 2013

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Statement of Cash Flows The Rightway Company uses the indirect method of presenting the Statement of Cash Flows. At 12/31/2014, an investigation of their 2013 and 2014 Balance Sheets reveals that the balance in Net Accounts Receivable has decreased by $100,000 from 2013 to 2014 and the balance in Accounts Payable has decreased by $75,000 from 2013 to 2014. The balance in Net Property, Plant and Equipment has decreased by $15,000 and they noted that no property, plant or equipment was purchased or sold during 2014. The firm reported an impairment loss of $40,000 in 2014 REQUIRED: In the space provided, prepare the Operating Cash Flow Section of the 2014 Statement of Cash Flows for the Rightway Company by providing the adjustments to reconcile net income of $850,000 to net cash flows provided by operating activities. Ignore tax effects. Statement of Cash Flows Rightway Company for the Year Ended December 31, 2014 $850,000 Cash Flows From Operations Net Income Adjustments to reconcile net income to net cash provided by operating activities

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