Current Assets and Liabilities Assignment
February 18th, 2020
Chew Corporation prepares its statement of cash flows using the indirect method of reporting operating activities. Net income for the 2018 fiscal year was $1,258,000. Depreciation expense of $148,000 was included with operating expenses in the income statement. The following information describes the changes in current assets and liabilities other than cash:]
| Increase in accounts receivable | $ | 160,000 |
| Decrease in inventories | 116,000 | |
| Decrease in prepaid expenses | 70,000 | |
| Decrease in salaries payable | 38,000 | |
| Increase in income taxes payable | 52,000 | |
Required:
Prepare the cash flows from operating activities for 2018. (Amounts to be deducted should be indicated with a minus sign.) .
