Answer:
Net cash from operating activities is $527,000.
Explanation:
This can be prepared as follows:
Fitz Company
Statement of cash flows
(Operating activities section only)
For the year ended December 31.
<u>Details                                                                      $           </u>
Net income                                                        412,000
Adjustment to reconcile net income:
Depreciation expense                                       50,000 
Amortization expense                                         7,300
Gain on sale of plant assets                              (7,400) 
(Increase) decrease in current assets:
Accounts receivable decrease                         33,400
Inventory decrease                                            47,500
Prepaid expenses increase                               (6,200)
Increase (decrease) in current liabilities:
Accounts payable decrease                            (10,900)
Salaries payable increase                           <u>         1,300   </u>
Net cash from operating activities          <u>     527,000   </u>