Do It! Review 12-2a Sheffield Corp. reported net income of $105,600 for 2019. In

ID: 2406876 • Letter: D

Question

Do It! Review 12-2a Sheffield Corp. reported net income of $105,600 for 2019. Included in the income statement were depreciation expense of $3,900, amortization expense of $2,900, and a gain on disposal of plant assets of $4,100 Sheffield's comparative balance sheets show the following balances 12/31/18 12/31/19 $26,000 6,400 $21,700 9,500 Accounts receivable Accounts payable Calculate net cash provided by operating activities for Sheffield Corp.. (Show amounts that decrease cash flow with either a sign e.g 15,000 or in parenthesis e.g. (15,000).) Sheffield Corp Statement of Cash Flows Adjustments to reconcile net income to Question Attempts: o of 3 used SAVE FOR LATERSBAIT ANSWER

Explanation / Answer

Shaffield Corp.

Statement of Cash Flows

For the year ended 2019

Cash Flows from Operating Activities

Net Income

$105,600

Adjustments to reconcile net income to

Net cash provided by operating activities

Add : Depreciation Expenses

3,900

Add : Increase in Accounts Payable

3,100

Add : Decrease in Accounts Receivables

4300

Add : Amortization Expenses

2900

$14,200

Net cash provided by operating activities

$119,800

The change in the following working capital item has not been considered in above computation: