Pakola Company had net income in the current year of Rs. 430,000,000. Depreciation expense for the year totaled Rs. 670,000. During the year the company experienced an increase in accounts receivable (all from sales to customers) of Rs. 350,000 and an increase in accounts payable (all to suppliers) of Rs. 560,000. Requirement Compute the amount of cash provided by or used for operating activities by the indirect method.
Pakola Company had net income in the current year of Rs. 430,000,000. Depreciation expense for the year totaled Rs. 670,000. During the year the company experienced an increase in accounts receivable (all from sales to customers) of Rs. 350,000 and an increase in accounts payable (all to suppliers) of Rs. 560,000. Requirement Compute the amount of cash provided by or used for operating activities by the indirect method.
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 5MC
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Q5. Pakola Company had net income in the current year of Rs. 430,000,000.
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Compute the amount of cash provided by or used for operating activities by the indirect method.
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