Answer:
the net cash provided by operating activities is $168,600
Explanation:
Cash flow from operating activities
net income, $134,000
adjust for non-cash items
add depreciation expense, $40,000
less gain on sale of plant assets, $14,000
adjust for changes in working capital
decrease in accounts receivable $11,400
increase in merchandise inventory ($28,000)
increase in prepaid expenses ($8,200)
increase in accounts payable $5,400
net cash provided by operating activities $168,600
