Wilson Company Reported Net Income of $105,000 for the Year

question 119

Multiple Choice

Wilson Company reported net income of $105,000 for the year ended December 31, 2017. During the year, inventories decreased by $15,000, accounts payable decreased by $20,000, depreciation expense was $18,000 and a gain on disposal of equipment of $9,000 was recorded. Net cash provided by operating activities in 2017 using the indirect method was

• A) $101,000.
• B) $109,000.
• C) $120,000.
• D) $118,000.

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Definitions:

American Settlement

The establishment of communities in the United States by immigrants or settlers.

Fourteenth Amendment

An amendment to the U.S. Constitution, ratified in 1868, granting citizenship to all persons born or naturalized in the United States, including former slaves, and providing all citizens with equal protection under the laws.

Chinese Immigrants

Individuals from China who have relocated to another country, historically significant in the 19th and early 20th centuries for their roles in labor, particularly in the United States during the California Gold Rush and the construction of the Transcontinental Railroad.

U.S. Citizens

Individuals who either are born in the United States or have been naturalized, granting them rights and responsibilities under U.S. law.