Marissa Company is preparing a statement of cash flows using the indirect method.The following data are available:
$$\begin{array} { l r }
\text { Net income } & \$ 30,000 \
\text { Depreciation expense } & 18,000 \
\text { Inventory increase } & 5,000 \
\text { Wages payable decrease } & 10,000 \
\text { Accounts receivable decrease } & 10,000 \
\text { Accounts payable decrease } & 7,000
\end{array}$$ Calculate cash flows from operating activities.

Question

Marissa Company is preparing a statement of cash flows using the indirect method.The following data are available:
 $$\begin{array} { l r } 
\text { Net income } & \$ 30,000 \
\text { Depreciation expense } & 18,000 \
\text { Inventory increase } & 5,000 \
\text { Wages payable decrease } & 10,000 \
\text { Accounts receivable decrease } & 10,000 \
\text { Accounts payable decrease } & 7,000
\end{array}$$ Calculate cash flows from operating activities.

Quizplus · Accepted Answer

The Answer of Marissa Company is preparing a statement of cash flows using the indirect method.The following data are available:
 $$\begin{array} { l r } 
\text { Net income } & \$ 30,000 \
\text { Depreciation expense } & 18,000 \
\text { Inventory increase } & 5,000 \
\text { Wages payable decrease } & 10,000 \
\text { Accounts receivable decrease } & 10,000 \
\text { Accounts payable decrease } & 7,000
\end{array}$$ Calculate cash flows from operating activities.

Marissa Company Is Preparing a Statement of Cash Flows Using