Rowan, Inc Additional Information

question 158

Essay

Rowan, Inc.'s, income statement is shown below. Based on this income statement and the other information provided, calculate the net cash provided by operations using the indirect method.
$\begin{array}{c}\text {Rowan, Inc.}\\\text {Income Statement}\\\text {For Year Ended December 31,20X1}\\\begin{array}{|l|}\hline\text {Sales}\\\hline\text {Cost of goods sold}\\\hline\text {Grossprofit}\\\hline\text {Operating expenses}\\\hline\text {Wages and salaries expense}\\\hline\text {Rent expense}\\\hline\text {Depreciation expense}\\\hline\text {Other operating expenses}\\\hline\text {Income from operations}\\\hline\text {Gain on sale of equipment}\\\hline\text {Income before income taxes}\\\hline\text {Income taxes expense}\\\hline\text {Net incone}\\\hline\end{array}\begin{array}{|r|}\hline\\\hline\\\hline\\\hline\\\hline \$ 44,000 \\\hline 16,000 \\\hline 30,000 \\\hline 18,000 \\\hline\\\hline\\\hline\\\hline\\\hline\\\hline \end{array}\begin{array}{r|}\hline\$248,000\\\hline116,000\\\hline\$132,000\\\hline\\\hline \\\hline \\\hline \\\hline 108,000 \\\hline\$24,000\\\hline26,000\\\hline\$50,000\\\hline\17,500\\\hline\$32,500\\\hline\end{array}\end{array}$
Additional information:
$$\begin{array} { | l | r | } \hline \text { Increase in accounts receivable } & \$ \quad 4,000 \\\hline \text { Increase in accounts payable } & 16,000 \\\hline \text { Increase in income taxes payable } & 300 \\\hline \text { Decrease in prepaid expenses } & 10,00 \\\hline \text { Decrease in merchandise inventory } & 14,00 \\\hline \text { Decrease in long-term notes payable } & 20,000 \\\hline\end{array}$$

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Definitions:

Self-Concept Change

Self-Concept Change involves the evolution or alteration of how one perceives, thinks about, and values oneself over time, often in response to experiences and reflection.

Introspection

The analysis or inspection of an individual's own cognitive and emotional activities.

Endowment Effect

The tendency for people to ascribe more value to things merely because they own them.

Ouija Board

A flat board marked with letters, numbers, and other symbols, used to attempt communication with spirits through a movable indicator or planchette.