During 2020, Acadia, Incorporated, earned net income of $660,000. The firm increased its accounts receivable during the year by $215,000. The book value of its assets declined by an amount equal to the year’s depreciation charge, or $86,000, and the market value of its assets increased by $39,000. Based only on this information, how much cash did Acadia generate during the year? Please ignore taxes for this problem.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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During 2020, Acadia, Incorporated, earned net income of $660,000. The firm increased its accounts receivable during the year by $215,000. The book value of its assets declined by an amount equal to the year’s depreciation charge, or $86,000, and the market value of its assets increased by $39,000. Based only on this information, how much cash did Acadia generate during the year? Please ignore taxes for this problem. 1. Accounting Income= 2. Depreciation (a non cash charge)= 3. Increase in accounts receivable= 4. Cash generated= 

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