Solution-What would the net cash flows from operating

What would the net cash flows from operating activities

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Problem - BlueInk Corporation's accumulated depreciation increased by $14,000, while patents decreased by $3,875 between consecutive balance sheet dates. There were no purchases or sales of depreciable or intangible assets during the year. In addition, the income statement showed a loss on sale of land of $1,950. Accounts receivable increased $6,320, inventory decreased $3,125, prepaid expenses decreased $720, and account payable increased $2,760. Reconcile a net income of $55,000 to net cash flow from operating activities.

BlueInk Corporation Cash Flows from Operating Activities Net income $55,000

Adjustments to reconcile net income to net cash from operating activities: Depreciation 14,000

Amortization 3,875

Loss on sale of land 1,950

Increase in accounts receivable 6,320

Decrease in inventory 3,125

Decrease in prepaid expenses 720

Increase in accounts payable 2,760

Required - What would the Net cash flows from operating activities?

Reference no: EM132456836

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What would the net cash flows from operating activities

Reference no: EM132456836

Reference no: EM132456836

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