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The net income reported on the income statement for the current year was $$290,000.$ Depreciation recorded on equipment and a building amounted to $$150,500$ for the year. Balances of the current asset and current liability accounts at the beginning and end of the year are as follows:

End

of Year Beginning

of Year

Cash $$117,600$ $$135,000$

Accounts receivable $($net$)132,500141,100$

Inventories $291,900274,300$

Prepaid expenses $5,6007,100$

Accounts payable $($merchandise creditors$)143,400172,400$

Salaries payable $11,3006,300$

Question Content Area

a$.$ Prepare the Cash Flows from $($used for$)$ Operating Activities section of the statement of cash flows, using the indirect method. Use the minus sign to indicate cash outflows, cash payments, decreases in cash, or any negative adjustments.

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Statement of Cash Flows $($partial$)$

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Cash flows from $($used for$)$ operating activities:

$$-$ Select $-$

Adjustments to reconcile net income to net cash flows from $($used for$)$ operating activities:

$-$ Select $-$

Changes in current operating assets and liabilities:

$-$ Select $-$

$-$ Select $-$

$-$ Select $-$

$-$ Select $-$

$-$ Select $-$

Net cash flows from operating activities $fill in the blank cdfb$1$afaffa$0021\_15$

Question Content Area

b$.$ If the direct method had been used, would the net cash flows from operating activities have been the same?

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