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Cash provided by operating activities

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Reference no: EM131158543

Jon Gezotis Company reported the following items in 2014:

Net income

$50,000

Dividends paid

6,000

Increase in accounts receivable

12,000

Increase in accounts payable

8,000

Purchase of equipment (capital expenditure)

9,000

Depreciation expense

3,500

Issue of notes payable

15,000

Required:

Calculate the following:

(1) net cash provided by operating activities,

(2) the net change in cash during 2014, and

(3) free cash flow.

Reference no: EM131158543

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