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Vesna [10]
3 years ago
6

The data given below are from the accounting records of the Kuhn Corporation:

Business
1 answer:
Yuri [45]3 years ago
3 0

Answer:

$72,400

Explanation:

The preparation of the Cash Flows from Operating Activities - Indirect Method is presented below:

Cash flow from Operating activities - Indirect method

Net income $61,000

Adjustment made:

Add : Depreciation expense $17,000

Less: Increase in accounts receivable -$6,100

Add: Decrease in inventory $3,800

Less: Decrease in accounts payable -$3,300

Total of Adjustments $11,400

Net Cash flow provided Operating activities $72,400

The items in minus sign reflects the cash outflow and the items in plus sign shows the cash inflow

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