Exhibit 19-7
USE THE FOLLOWING INFORMATION FOR THE NEXT PROBLEM(S)

question 45

Multiple Choice

Exhibit 19-7
USE THE FOLLOWING INFORMATION FOR THE NEXT PROBLEM(S)
You are provided with the following information for the Nelson Corporation. $\begin{array}{lcc} & 2008 & 2009 \\\hline \text { Net Income } & \$ 1500 & \$ 2000 \\\text { Depreciation } & \$ 200 & \$ 475 \\\text { Total Current Assets } & \$ 700 & \$ 900 \\\text { Total Current Liabilities } & \$ 500 & \$ 800\end{array}$
During 2009 Nelson Corp. made capital expenditures totaling $500 and disposed property worth $800.
-Refer to Exhibit 19-7. The firm's cash flow from operating activities for the year 2009 is

• A) $2200
• B) $2575
• C) $2325
• D) $2875
• E) $1900

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Definitions:

Taxes

Compulsory financial charges or some other type of levy imposed upon a taxpayer by a governmental organization in order to fund various public expenditures.

Consumers

Individuals or households that use goods and services generated within the economy.

Sellers

Individuals or entities that offer products, goods, or services for sale to buyers.

Tax Increase

The act of raising the amount of money government collects from taxes, often to fund public services or reduce budget deficits.