Royal Corporation Uses the Indirect Method of Computing Net Cash

question 144

Multiple Choice

Royal Corporation uses the indirect method of computing net cash from operating activities and reported the following for 2014: accounts receivable decreased by $10,300, inventory increased by $15,300, accounts payable decreased by $4,000, and income taxes payable increased by $18,800. If Royal Corporation reported profit for 2014 of $157,800 (including $34,800 of depreciation expense) , net cash from operating activities for 2014 is:

• A) $202,400.
• B) $132,800.
• C) $164,800.
• D) $221,700.

---

Definitions:

Green Light

A signal to proceed or an indication that an action, project, or initiative is approved or acceptable.

Supercell Clusters

Large-scale convective weather phenomena characterized by severe thunderstorms capable of producing tornadoes and other intense conditions.

Feature Detectors

Neurons in the brain that respond to specific attributes of a stimulus, such as lines, edges, or movements.

Cortical Areas

Regions located in the brain's cortex involved in numerous functions, including sensory perception and cognitive processes.