Question

The net income for Martinez Company for 2020 was $305,900. During 2020, depreciation on plant assets was $120,200, amortization of patent was $39,400, and the company incurred a loss on sale of plant assets of $23,500. Compute net cash flow from operating activities. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)

Answer 1

$489,000

Step-by-step explanation:

Martinez Company

Computation of net cash flow from operating activities for 2010

Details Amount ($)

Net income 305,900

Non-cash expenses adjustment:

Plant depreciation 120,200

Patent amortization 39,400

Loss on sale of plant assets 23,500

Net cash flow from operating activities 489,000