Green Timber reported net income of $53,000; depreciation expenses of $11,000; a gain on a land sale of $3,000; and a decrease in Accounts Receivable of $3,500. Under the indirect method, net Cash Flows from operations is:

Question

Quizplus · Accepted Answer

Net Cash Flows = Net Income + Depreciation Expenses - Gain on Land Sale - Change in Accounts Receivable
Net Cash Flows = $53,000 + $11,000 - $3,000 - (-$3,500) = $64,500

Green Timber Reported Net Income of $53,000; Depreciation Expenses of $11,000;