Changes in Current Operating Assets and Liabilities—Indirect Method Huluduey Corporation's comparative balance sheet for current assets and liabilities was as follows: Dec. 31, Year 2 Dec. 31, Year 1 Accounts receivable $18,000 $14,400 Inventory 34,800 29,700 Accounts payable 27,600 20,700 Dividends payable 8,400 10,800 Adjust net income of $160,000 for changes in operating assets and liabilities to arrive at net cash flow from operating activities.
Changes in Current Operating Assets and Liabilities—Indirect Method Huluduey Corporation's comparative balance sheet for current assets and liabilities was as follows: Dec. 31, Year 2 Dec. 31, Year 1 Accounts receivable $18,000 $14,400 Inventory 34,800 29,700 Accounts payable 27,600 20,700 Dividends payable 8,400 10,800 Adjust net income of $160,000 for changes in operating assets and liabilities to arrive at net cash flow from operating activities.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Changes in Current Operating Assets and Liabilities—Indirect Method
Huluduey Corporation's comparative balance sheet for current assets and liabilities was as follows:
| Dec. 31, Year 2 | Dec. 31, Year 1 | |||
| Accounts receivable | $18,000 | $14,400 | ||
| Inventory | 34,800 | 29,700 | ||
| Accounts payable | 27,600 | 20,700 | ||
| Dividends payable | 8,400 | 10,800 |
Adjust net income of $160,000 for changes in operating assets and liabilities to arrive at net cash flow from operating activities.
$
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