Handley Mowers Prepares Its Statement of Cash Flows Using the Indirect

question 68

Multiple Choice

Handley Mowers prepares its statement of cash flows using the indirect method. The following information was taken from its income statement and balance sheet for 2014: $\begin{array}{lr}\text { Net loss } & (\$ 6,000) \\\text { Increase in accounts receivable } & 2,400 \\\text { Depreciation expense } & 3,500 \\\text { Decrease in accounts payable } & 800 \\\text { Loss on sale ofinvestments } & 1,300 \\\text { Payment of dividends } & 1,500\end{array}$ How much is cash provided/(used) by operating activities?

• A) $4,400
• B) ($2,900)
• C) ($4,400)
• D) ($7,600)

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