Reference no: EM132172868

Question - The net income reported on the income statement of Hunter Inc. for the current year was $150,000. Depreciation recorded on equipment and building amounted to $45,000 for the year. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows

Account End of Year Beginning of Year

Cash 42,875 36,250

Trade Receivables (net) 147,500 137,500

Inventories 109,375 93,750

Prepaid Expenses 9,250 11,875

Accounts Payable 57,000 40,000

Salaries Payable 7,625 10,625

Dividends Payable 4,250 3,125

Interest Received on Investments 1,800 1,500

How prepare the cash flows from operating activities of the statement of cash flow using the indirect method?