Ultimate Business Study Guide - Questions & Answers
Majorn Auto Parts Store had net income of $90,000 for the year just ended. Majorn collected the following additional information to prepare its statement of cash flows for the year:Increase in accounts receivable$120,000Decrease in inventory$27,000Decrease in accounts payable$44,000Increase in retained earnings$38,000Cash received from sale of building$224,000Gain on sale of building$56,000Depreciation expense$41,000Majorn uses the indirect method to prepare its statement of cash flows. What is Majorn's net cash provided (used) by operating activities?$(62,000)$50,000$306,000$212,000