In Wallace Company, Net Income Is $290,000

question 129

Multiple Choice

In Wallace Company, net income is $290,000. If accounts receivable increased $140,000 and accounts payable decreased $40,000, net cash provided by operating activities using the indirect method is:

• A) $110,000.
• B) $190,000.
• C) $390,000.
• D) $470,000.

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Definitions:

U.S. Tariff

A tax imposed by the United States government on imported or, less commonly, exported goods.

Oil

A viscous liquid derived from petroleum, mainly used for fuel, heating, and lubrication.

Imports

Products or services imported into a country from overseas for the purpose of selling.

Price

The funds expected, demanded, or provided in exchange for a particular good or service.