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The net income reported on an income statement for the current year was $250,000. Depreciation recorded on fixed assets for the year was $45,500. Balance

The net income reported on an income statement for the current year was $250,000. Depreciation recorded on fixed assets for the year was $45,500. Balance of the current asset and current liability accounts at the end and beginning of the year are listed below:

Ending Beginning

Cash $56,000 $59,500

Accounts receivable(net) 71,000 73,400

Inventories 140,000 126,500

Prepaid expenses 7,800 8,400

Accounts payable 62,600 66,400

Cash dividends payable 4,500 7,000

Salaries payable 9,000 8,250

a: Prepare the cash flows from operating activities section of a statement of cash flows using the (Indirect) method.

b: If the direct method had been required for this problem, would the net cash flows from operating activities have been the same? Explain.

(Hi, could you make the answer as a statement of cash flows. Thank you .

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