Washington Corp If Washington Uses the Indirect Method to Prepare the Operating

question 194

Multiple Choice

Washington Corp.reported the following information for 2016 and 2017. $\begin{array}{lrr}& \mathbf{2 0 1 6} & \mathbf{2 0 1 7} \\\text { Accounts receivable } & \$ 101,000 & \$ 93,000 \\\text { Prepaid expenses } & 5,000 & 6,000 \\\text { Accounts payable } & 71,000 & 76,000 \\\text { Salaries payable } & 5,000 & 4,000 \\\text { Net income } & & 80,000 \\\text { Depreciation expense } & & 9,000 \\\text { Gain on sale of equipment } & & 5,000\\\end{array}$ If Washington 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 2017?

• A) $73,000
• B) $83,000
• C) $95,000
• D) $105,000

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Definitions:

Sensory Adaptation

The process by which our sensory receptors become less sensitive to constant stimuli over time, allowing us to focus on changes in our environment.

Subliminal Stimulation

Involves exposing individuals to stimuli below the threshold of conscious awareness, which can subtly influence thoughts, feelings, or actions.

Emotion

A response of the whole organism, involving (1) physiological arousal, (2) expressive behaviors, and (3) conscious experience.

Prosopagnosia

An impairment in the brain preventing the recognition of faces, often termed as face blindness.