Handley Mowers Prepares Its Statement of Cash Flows Using the Indirect

question 3

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 2017: $\begin{array}{lr}\text { Net loss } & (\$ 6,000) \\\text { Increase in accounts receivable } & 2,400 \\\text { Depreciation expense } & 3,500 \\\text { Decrease in accounts payable } & 800 \\\text { Loss on sale of investments } & 1,300 \\\text { Payment of dividends } & 1,500\end{array}$ 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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