Dorman Company reported the following dа ta: Net income $225,000 Depreciation expense 25,000 Gain on disposal of equipment 20,500 Decrease in accounts receivable 14,000 Decrease in accounts payable 3,600 Prepare the Cash flows from operating activities section of the statement of cash flows using the indirect method. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. Dorman Company Statement of Cash Flows Cash flows from operating activities: $ Adjustments to reconcile net income to net cash flow from operating activities: Changes in current operating assets and liabilities: Net cash flow from operating activities $

Question

Eliza Norton

Business

1 March, 17:53

Dorman Company reported the following dа ta: Net income $225,000 Depreciation expense 25,000 Gain on disposal of equipment 20,500 Decrease in accounts receivable 14,000 Decrease in accounts payable 3,600 Prepare the Cash flows from operating activities section of the statement of cash flows using the indirect method. Use the minus sign to indicate cash out flows, cash payments, decreases in cash, or any negative adjustments. Dorman Company Statement of Cash Flows Cash flows from operating activities: $ Adjustments to reconcile net income to net cash flow from operating activities: Changes in current operating assets and liabilities: Net cash flow from operating activities $

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Nikki · Answer 1

Net Cash Flow from operating activities $239,900

Explanation:

Dorman Company

Statement of Cash Flows

Cash flows from operating activities: $

Net Income 225,000

Adjustments to reconcile net income to net cash flow from operating activities:

Depreciation 25,000

Gain on disposal of equipment - 20,500

Changes in current operating assets and liabilities:

Decrease in accounts receivable 14,000

Decrease in accounts payable - 3,600

Net cash flow from operating activities $239,900