16. () Hoffman Company's net income for the current year was $480,000. Depreciation was $62,000. Accounts receivable and inventories decreased by $20,000 and $32,000, respectively. Prepaid expenses and salaries payable increased, respectively, by $2,000 and $16,000. Equipment was sold at a gain of $8,000. How much cash was provided by operating activities? A. $536,000. B. $600,000. C. $576,000. D. $476,000.
16. () Hoffman Company's net income for the current year was $480,000. Depreciation was $62,000. Accounts receivable and inventories decreased by $20,000 and $32,000, respectively. Prepaid expenses and salaries payable increased, respectively, by $2,000 and $16,000. Equipment was sold at a gain of $8,000. How much cash was provided by operating activities? A. $536,000. B. $600,000. C. $576,000. D. $476,000.
Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter6: Accounting For Financial Management
Section: Chapter Questions
Problem 4P: Talbot Enterprises recently reported an EBITDA of $8 million and net income of $2.4 million. It had...
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![16. () Hoffman Company's net income for the current year was $480,000. Depreciation was $62,000. Accounts
receivable and inventories decreased by $20,000 and $32,000, respectively. Prepaid expenses and salaries payable
increased, respectively, by $2,000 and $16,000. Equipment was sold at a gain of $8,000. How much cash was provided by
operating activities?
A. $536,000.
B. $600,000.
C. $576,000.
D. $476,000.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F7989d58a-7af6-4c73-a4d8-3a66f200f066%2Fff6defcb-4c30-4246-a774-6dd5e79dbef9%2Fdwavb6_processed.jpeg&w=3840&q=75)
Transcribed Image Text:16. () Hoffman Company's net income for the current year was $480,000. Depreciation was $62,000. Accounts
receivable and inventories decreased by $20,000 and $32,000, respectively. Prepaid expenses and salaries payable
increased, respectively, by $2,000 and $16,000. Equipment was sold at a gain of $8,000. How much cash was provided by
operating activities?
A. $536,000.
B. $600,000.
C. $576,000.
D. $476,000.
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