Pure Life Corporation has just finished preparing a consolidated balance sheet, income statement, and statement of changes in retained earnings for 20X9. The following items are proposed for inclusion in the consolidated cash flow statement: Decrease in accounts receivable$15,000 Increase in accounts payable 18,000 Increase in inventory 20,000 Increase in bonds payable 50,000 Equipment purchased 200,000 Common stock repurchased 40,000 Depreciation reported for current period 50,000 Gain recorded on sale of equipment 12,000 Book value of equipment sold 58,000 Goodwill impairment loss 12,000 Sales 800,000 Cost of goods sold 350,000 Dividends paid by parent 45,000 Dividends paid by subsidiary 20,000 Consolidated net income for the year 400,000 Income assigned
to the noncontrolling interest 20,000 Pure Life holds 75 percent of the voting stock of Shane Pharmaceuticals, acquired at book value on June 21, 20X6. On the date of the acquisition, the fair value of the noncontrolling interest was equal to 25 percent of the book value of Shane.Based on the preceding information, what amount will be reported in the consolidated cash flow statement as net cash provided by operating activities for 20X9?
A. $335,000
B. $463,000
C. $350,000
D. $421,000
Answer: B
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