Bath Works had a net loss of $5,100 in 2017.During the year, a gain of $4,000 was recognized on the sale of fully depreciated equipment that had cost $14,000 and had no salvage value.Depreciation expense during the year totaled $17,400.Changes in the following selected accounts occurred during the year: $$\begin{array} { l c }
& \text { Increase/(Decrease) } \
\text { Accounts receivable } & \$ 6,500 \
\text { Inventory } & ( 3,200 ) \
\text { Interest payable } & 1,200 \
\text { Accounts payable } & ( 1,000 ) \
\text { Accumulated depreciation } & 3,400 \
\text { Notes payable } & ( 6,400 ) \
\text { Long-term investments } & ( 9,000 )
\end{array}$$ Using the indirect method, how much is the company's net cash provided(used) by operating activities?

Question

Bath Works had a net loss of $5,100 in 2017.During the year, a gain of $4,000 was recognized on the sale of fully depreciated equipment that had cost $14,000 and had no salvage value.Depreciation expense during the year totaled $17,400.Changes in the following selected accounts occurred during the year: $$\begin{array} { l c } 
& \text { Increase/(Decrease) } \
 \text { Accounts receivable } & \$ 6,500 \
\text { Inventory } & ( 3,200 ) \
\text { Interest payable } & 1,200 \
\text { Accounts payable } & ( 1,000 ) \
\text { Accumulated depreciation } & 3,400 \
\text { Notes payable } & ( 6,400 ) \
\text { Long-term investments } & ( 9,000 )
\end{array}$$ Using the indirect method, how much is the company's net cash provided(used) by operating activities?

Quizplus · Accepted Answer

The Answer of Bath Works had a net loss of $5,100 in 2017.During the year, a gain of $4,000 was recognized on the sale of fully depreciated equipment that had cost $14,000 and had no salvage value.Depreciation expense during the year totaled $17,400.Changes in the following selected accounts occurred during the year: $$\begin{array} { l c } 
& \text { Increase/(Decrease) } \
 \text { Accounts receivable } & \$ 6,500 \
\text { Inventory } & ( 3,200 ) \
\text { Interest payable } & 1,200 \
\text { Accounts payable } & ( 1,000 ) \
\text { Accumulated depreciation } & 3,400 \
\text { Notes payable } & ( 6,400 ) \
\text { Long-term investments } & ( 9,000 )
\end{array}$$ Using the indirect method, how much is the company's net cash provided(used) by operating activities?

Bath Works Had a Net Loss of $5,100 in 2017