Question

Accounts receivable arising from sales to customers amounted to $85,000 and $75,000 at the beginning and end of the year, respectively. Income reported on the income statement for the year was $285,000. Exclusive of the effect of other adjustments, the cash flows from operating activities to be reported on the statement of cash flows is Group of answer choices $285,000. $295,000. $445,000. $275,000.

Answer 1

$295,000

Step-by-step explanation:

Cash flow from Operating Activities

Net Income $285,000

Adjustment for change in working capital :

Decrease in Accounts receivable $10,000

Net Cash Provided by Operating Activities $295,000