Harrison Industries began with its accounts receivable, inventory, and prepaid expenses totaling
$ and its total current liabilities totaling $ At the end of the year, these same current
assets totaled $ while its total current liabilities totaled $ Net income for the year was
$ Included in net income were a $ loss on the sale of land and depreciation expense of
$
Show how Harrison should report cash flows from operating activities for The company uses the
indirect method. Use parentheses or a minus sign for numbers to be subtracted and for a net decrease
in cash.
Cash flows from operating activities:
Net income
Adjustments to reconcile net income to net cash
provided by used for operating activities:
Depreciation
Loss on sale of land
Increase in accounts receivable, inventory, and prepaid
expenses
Increase in current liabilities
$
Net cash provided by used for operating activities
