Cain Incorporated reports net income of $15,600. Its comparative balance sheet shows the following changes: accounts receivable increased $6,600; inventory decreased $8,600; prepaid insurance decreased $1,600; accounts payable increased $3,600; and taxes payable decreased $2,600. Compute cash flows from operations using the indirect method. (Amounts to be deducted should be indicated by a minus sign.) Cash Flows from Operating Activities (Indirect) Adjustments to reconcile net income to net cash provided by operating activities Changes in current assets and liabilities
Cain Incorporated reports net income of $15,600. Its comparative balance sheet shows the following changes: accounts receivable increased $6,600; inventory decreased $8,600; prepaid insurance decreased $1,600; accounts payable increased $3,600; and taxes payable decreased $2,600. Compute cash flows from operations using the indirect method. (Amounts to be deducted should be indicated by a minus sign.) Cash Flows from Operating Activities (Indirect) Adjustments to reconcile net income to net cash provided by operating activities Changes in current assets and liabilities
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter21: The Statement Of Cash Flows
Section: Chapter Questions
Problem 5RE: In the current year, Harrisburg Corporation had net income of 35,000, a 9,000 decrease in accounts...
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Transcribed Image Text:Cain Incorporated reports net income of $15,600. Its comparative balance sheet shows the following changes: accounts receivable
increased $6,600; inventory decreased $8,600; prepaid insurance decreased $1,600; accounts payable increased $3,600; and taxes
payable decreased $2,600. Compute cash flows from operations using the indirect method. (Amounts to be deducted should be
indicated by a minus sign.)
Cash Flows from Operating Activities (Indirect)
Adjustments to reconcile net income to net cash provided by operating activities
Changes in current assets and liabilities
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