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The beginning and ending balances of certain accounts in a company's balance sheet are as follows:
Beginning Balance
Ending Balance
Changes
Accounts Receivable
$500,000
$465,000
($35,000)
Inventory
$780,000
$860,000
$80,000
Prepaid Expenses
$110,000
$105,000
($5,000)
Accounts Payable
$350,000
$325,000
($25,000)
Accrued Expenses Payable
$165,000
$175,000
$10,000
The business records $145,000 depreciation expense for the year and its net income is $258,000 for the year. Determine its cash flow from operating activities for the year. Present your answer in the indirect format for cash flow from operating activities in the statement of cash flows.
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