Wing app Ravenna Company is a merchandiser that uses the indirect method to prepare the operating activities section of its statement of cash flows. Its balance sheet for this year is as follows: Cash Accounts receivable Inventory Total current assets Property, plant, and equipment Less accumulated depreciation Net property, plant, and equipment Total assets Ending Balance $ 64,400 53,200 71,400 189,000 192,000 64,000 Beginning Balance $ 76,900 57,200 65,000 199,100 182,000 45,500 128,000 136,500 $317,000 $335,600 Accounts payable Income taxes payable Bonds payable Common stock Retained earnings Total liabilities and stockholders' equity $ 41,600 32,400 78,000 91,000 74,000 $317,000 $ 74,000 39,600 65,000 78,000 79,000 $335, 600 During the year, Ravenna paid a $7,800 cash dividend and it sold a piece of equipment for $3,900 that had originally cost $8,400 and had accumulated depreciation of $5,600. The company did not retire any bonds or repurchase any of its own common stock during the year. Foundational 14-5 5-a. What is the amount and direction (+ or -) of the accounts receivable adjustment to net income in the operating activities section of the statement of cash flows? 5-b. What does this adjustment represent? Complete this question by entering your answers in the tabs below. Req 5A Req 5B What is the amount and direction (+ or -) of the accounts receivable adjustment to net income in the operating activities section of the statement of cash flows? Amount (Reg 5A Req 5B > Req 5A Req 5B What does this adjustment represent? Cash collected from customers > Credit sales Cash collected from customers Cash collected