The income statement of Elbert Company is presented here. Additional information:1. Accounts receivable increased $250,000 during the

Question:

The income statement of Elbert Company is presented here.

Additional information:1. Accounts receivable increased $250,000 during the year, and inventory decreased $500,000.2. Prepaid expenses increased $150,000 during the year.3. Accounts payable to suppliers of merchandise decreased $340,000 during the year.4. Accrued expenses payable decreased $100,000 during the year.5. Operating expenses include depreciation expense of $90,000.InstructionsPrepare the operating activities section of the statement of cash flows for the year ended November 30, 2010, for Elbert Company, using the indirectmethod.

Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive... Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...