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Find what is net cash provided by operating activities

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Reference no: EM132807015

Problem 1: Which of the following is not reported as an adjustment to net income when using the indirect method of computing net cash flows from operating activities?

A. Cash dividends paid.

B. A change in accounts receivable.

C. Depreciation.

D. A change in a prepaid expense.

S Company reported net income for 2018 in the amount of $400,000. The company's financial statements also included the following:

Increase in accounts receivable $80,000

Decrease in inventory 60,000

Increase in accounts payable 200,000

Depreciation expense 104,000

Gain on sale of land 148,000

Problem 2: What is net cash provided by operating activities under the indirect method?

A. $432,000.

B. $536,000.

C. $580,000.

D. $832,000.

Reference no: EM132807015

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