1. If net profit is $47,025; depreciation is $2,200; accounts receivable increases $5,056; accounts payable increases $4,673; and inventory declines $850; what is the operating cash flow for the month using the indirect method? Net profit add depreciation Accounts receivable Accounts payable Inventory Operating cash flow 2. As a business owner looking at this operating cash flow statement using the indirect method, what might you want to further investigate? Why?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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1. If net profit is $47,025; depreciation is $2,200; accounts receivable increases $5,056;
accounts payable increases $4,673; and inventory declines $850; what is the operating
cash flow for the month using the indirect method?
Net profit
add depreciation
Accounts receivable
Accounts payable
Inventory
Operating cash flow
2. As a business owner looking at this operating cash flow statement using the indirect
method, what might you want to further investigate? Why?
Answer:
Transcribed Image Text:1. If net profit is $47,025; depreciation is $2,200; accounts receivable increases $5,056; accounts payable increases $4,673; and inventory declines $850; what is the operating cash flow for the month using the indirect method? Net profit add depreciation Accounts receivable Accounts payable Inventory Operating cash flow 2. As a business owner looking at this operating cash flow statement using the indirect method, what might you want to further investigate? Why? Answer:
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