Answer:
Rachel's net cash flows from operating activities would be $264,500
Explanation:
In order to calculate Rachel's net cash flows from operating activities we would have to calculate the following formula:
cash flows from operating activities=Net income+Increase in accounts payable+ decrease in accounts payable
Net income=$250,000
Increase in accounts payable=Ending balance-Beginning Balance
Increase in accounts payable=$30,000-$23,000
Increase in accounts payable=$7,000
decrease in accounts payable=Ending balance-Beginning Balance
decrease in accounts payable=$10,500-$18,000
decrease in accounts payable=$7,500
Therefore, cash flows from operating activities=$250,000+$7,000+$7,500
cash flows from operating activities=$264,500
Rachel's net cash flows from operating activities would be $264,500
