Changes in Current Operating Assets and Liabilities-Indirect Method Mohammed Corporation's comparative balance sheet for current assets and liabilities was as follows: Dec. 31, 20Y2 Dec. 31, 20Y1 Accounts receivable $21,400 $20,800 Inventory 69,000 69,700 Accounts payable 15,800 15,300 Dividends payable 24,000 26,000 Adjust net income of $119,400 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 Mohammed Corporation's comparative balance sheet for current assets and liabilities was as follows: Dec. 31, 20Y2 Dec. 31, 20Y1 Accounts receivable $21,400 $20,800 Inventory 69,000 69,700 Accounts payable 15,800 15,300 Dividends payable 24,000 26,000 Adjust net income of $119,400 for changes in operating assets and liabilities to arrive at net cash flow from operating activities.
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
Chapter15: Financial Statement Analysis
Section: Chapter Questions
Problem 6MCQ
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![Changes in Current Operating Assets and Liabilities-Indirect Method
Mohammed Corporation's comparative balance sheet for current assets and liabilities was as follows:
Dec. 31, 20Y2
Dec. 31, 20Υ1
Accounts receivable
$21,400
$20,800
Inventory
69,000
69,700
Accounts payable
15,800
15,300
Dividends payable
24,000
26,000
Adjust net income of $119,400 for changes in operating assets and liabilities to arrive at net cash flow from operating activities.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F6029dd55-42c4-440e-b9a8-c5c2912d7ddc%2F8f762e71-f61a-4a46-b9a7-f553c6d5039b%2Fy9c9jwi_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Changes in Current Operating Assets and Liabilities-Indirect Method
Mohammed Corporation's comparative balance sheet for current assets and liabilities was as follows:
Dec. 31, 20Y2
Dec. 31, 20Υ1
Accounts receivable
$21,400
$20,800
Inventory
69,000
69,700
Accounts payable
15,800
15,300
Dividends payable
24,000
26,000
Adjust net income of $119,400 for changes in operating assets and liabilities to arrive at net cash flow from operating activities.
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