1) The following information is available from Ram Corp.'s accounting records for the year ended December 31, 2022: Cash paid to suppliers and employee Cash dividends paid 1,020,000 60,000 Cash received from customers 1,740,000 Rent received 20,000 Taxes paid 220,000 Net cash flow provided by operating activities for 2022 was A. 440,000 B. 460,000 C. 500,000 D. 520,000
1) The following information is available from Ram Corp.'s accounting records for the year ended December 31, 2022: Cash paid to suppliers and employee Cash dividends paid 1,020,000 60,000 Cash received from customers 1,740,000 Rent received 20,000 Taxes paid 220,000 Net cash flow provided by operating activities for 2022 was A. 440,000 B. 460,000 C. 500,000 D. 520,000
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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I was told that the answer was 520,000. Is it true? If so, please help me and explain how it was solved. Thank you!

Transcribed Image Text:Operating Activities - Direct Method
1) The following information is available from Ram Corp.'s accounting records for the year ended December 31, 2022:
Cash paid to suppliers and employee
Cash dividends paid
1,020,000
60,000
Cash received from customers
1,740,000
20,000
Rent received
Taxes paid
220,000
Net cash flow provided by operating activities for 2022 was
A. 440,000
B. 460,000
C. 500,000
D. 520,000
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