For the year just completed, Hanna Company had net income of $70,000. Balances in the company's current asset and current liability accounts at the beginning and end of the year were as follows: Current assets: Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Current liabilities: Accounts payable Accrued liabilities Income taxes payable December 31 End of Year $ 58,000 $ 162,000 $ 439,000 $ 11,500 $ 352,000 $ 8,500 $ 33,000 Beginning of Year $ 79,000 $ 194,000 $ 358,000 $ 14,000 $ 390,000 $ 12,500 $ 29,000

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Chapter1: Financial Statements And Business Decisions
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For the year just completed, Hanna Company had net income of $70,000. Balances in the company's current asset and current liability
accounts at the beginning and end of the year were as follows:
Current assets:
Cash and cash equivalents
Accounts receivable
Inventory
Prepaid expenses
Current liabilities:
Accounts payable
Accrued liabilities
Income taxes payable
December 31
End of Year
$ 58,000
$ 162,000
$ 439,000
$ 11,500
$352,000
$ 8,500
$ 33,000
Beginning of Year
$ 79,000
$ 194,000
$ 358,000
$14,000
$ 390,000
$ 12,500
$ 29,000
The Accumulated Depreciation account had total credits of $54,000 during the year. Hanna Company did not record any gains or
losses during the year.
Hanna Company
Statement of Cash Flows-Indirect Method (partial)
Required:
Using the indirect method, determine the net cash provided by operating activities for the year. (List any deduction in cash outflows
as negative amounts.)
Transcribed Image Text:For the year just completed, Hanna Company had net income of $70,000. Balances in the company's current asset and current liability accounts at the beginning and end of the year were as follows: Current assets: Cash and cash equivalents Accounts receivable Inventory Prepaid expenses Current liabilities: Accounts payable Accrued liabilities Income taxes payable December 31 End of Year $ 58,000 $ 162,000 $ 439,000 $ 11,500 $352,000 $ 8,500 $ 33,000 Beginning of Year $ 79,000 $ 194,000 $ 358,000 $14,000 $ 390,000 $ 12,500 $ 29,000 The Accumulated Depreciation account had total credits of $54,000 during the year. Hanna Company did not record any gains or losses during the year. Hanna Company Statement of Cash Flows-Indirect Method (partial) Required: Using the indirect method, determine the net cash provided by operating activities for the year. (List any deduction in cash outflows as negative amounts.)
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