Examlex

Solved

Alvez Company Reports Net Income of $305,000 for the Year

question 81

Multiple Choice

Alvez Company reports net income of $305,000 for the year ended December 31.It also reports $93,700 depreciation expense and a $10,000 loss on the sale of equipment.Its comparative balance sheet reveals a $40,200 increase in accounts receivable,a $10,200 decrease in prepaid expenses,a $15,200 increase in accounts payable,a $12,500 decrease in wages payable,and a $100,000 decrease in notes payable.Calculate the cash provided (used) in operating activities using the indirect method.


Definitions:

Differential Carriers

Components that hold the differential gearing in vehicles, allowing wheels to rotate at different speeds.

Heavy Truck Drive Axle Assembly

The component of a heavy truck responsible for transmitting power from the transmission to the wheels, enabling motion.

Gear Lube

A high-viscosity lubricant specifically designed for transmissions, differentials, and gearboxes to protect against wear, pitting, and corrosion.

Related Questions