Alfredo Incorporated reports net income of $244,000 for the year ended December 31. It also reports $93,800 depreciation expense and a $5,700 gain on the sale of equipment. Its comparative balance sheet reveals a $38,300 decrease in accounts receivable, a $17,150 increase in accounts payable, and a $13,450 decrease in wages payable. Calculate the cash provided (used) in operating activities using the indirect method.

Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter14: Statement Of Cash Flows
Section: Chapter Questions
Problem 54P
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Alfredo Incorporated reports net income of $244,000 for the year ended December 31. It also reports $93,800 depreciation expense and a $5,700 gain on the sale of equipment. Its comparative balance sheet reveals a $38,300 decrease in accounts receivable, a $17,150 increase in accounts payable, and a $13,450 decrease in wages payable. Calculate the cash provided (used) in operating activities using the indirect method.

 

 
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