EA7. LO 16.3 Use the following information from Chocolate Company's financial statements to determine operating net cash flows (indirect method). Income Statement Balance Sheet Sales Cost of Goods Sold Salaries Expense Depreciation Expense Net Income Accounts Receivable decrease Merchandise Inventory increase Salaries Payable increase $ 98,500 (62,000) (18,000) (9,000) 9,500 $2,000 1,600 450

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