Reference no: EM132742929
Problem - Cash flows from operating activities-indirect method - Selected data (in thousands) derived from the income statement and balance sheet of National Beverage Corp. for a recent year are as follows:
Income statement data:
Net income $49,311
Gain on disposal of property 1,188
Depreciation expense 11,580
Other items involving noncash expenses 1,383
Balance sheet data:
Increase in accounts receivable 1,746
Decrease in inventory 990
Increase in prepaid expenses 605
Decrease in accounts payable 710
Decrease in accrued and other current liabilities 995
Required -
a. Prepare the "Cash flows from operating activities" section of the statement of cash flows, using the indirect method for National Beverage Corp.
b. Interpret your results in part (a).
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