Exercise 11-6 (Algo) Calculate operating activities-indirect method (LO11-3) Bead World reports net income of $146,000. Included in net income is a gain on the sale of land of $10,500. A comparison of this year's and last year's balance sheets reveals an increase in accounts receivable of $16,000, an increase in inventory of $10,500, and a decrease in accounts payable of $36,000. Required: Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.) Exercise 11-7 (Algo) Calculate operating activities-indirect method (LO11-3) Technology Distributors reports net income of $61,000. Included in that number is depreciation expense of $13,000 and a loss on the sale of land of $5,600. A comparison of this year's and last year's balance sheets reveals a decrease in accounts receivable of $31,000, a decrease in inventory of $18,000, and an increase in accounts payable of $51,000. Required: Prepare the operating activities section of the statement of cash flows using the indirect method. (Amounts to be deducted should be indicated with a minus sign.)
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