Mercury Corporation Reported the Following Information on Its Financial Statements

question 193

Multiple Choice

Mercury Corporation reported the following information on its financial statements: If the company uses the indirect method to prepare the operating activities section of the statement of cash flows, what amount will be reported as net cash inflow from operating activities for 2020?

• A)$171,000
• B)$215,000
• C)$245,000
• D)$183,000

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Definitions:

Margin

The difference between the selling price of a product and its cost of production, often expressed as a percentage of sales.

Operating Data

Information related to the daily operations of a business, which can include sales figures, production costs, and inventory levels.

Margin

The difference between the selling price of a product and its cost, expressed as a percentage of the selling price, indicating the profitability of the product.

Investment Opportunity

An option for investing capital with the expectation of achieving a return, often evaluated based on potential risks and rewards.