Salsedo Corporation's balance sheet and income statement appear below:Comparative Balance Sheet Ending BalanceBeginning BalanceAssets:      Cash and cash equivalents$31 $33 Accounts receivable 24  30 Inventory 53  47 Property, plant, and equipment 461  390 Less accumulated depreciation 306  256 Total assets$263 $244 Liabilities and stockholders' equity:      Accounts payable$42 $49 Accrued liabilities 16  17 Income taxes payable 39  40 Bonds payable 75  90 Common stock 53  50 Retained earnings 38  ( 2)Total liabilities and stockholders' equity$263 $244 Income StatementSales$ 634Cost of goods sold  400Gross margin234Selling and administrative expense  174Net operating income60Gain on sale of equipment  10Income before

taxes70Income taxes  21Net income$ 49Cash dividends were $9. The company sold equipment for $15 that was originally purchased for $10 and that had accumulated depreciation of $5. It did not issue any bonds payable or repurchase any of its own common stock.The net cash provided by (used in) operating activities for the year was:

A. $85
B. $94
C. $60
D. $95


Answer: A

Business

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