Use the following income statement and information about selected current assets and current liabilities for Kimberline Industries to calculate the net cash provided or used by operating activities using the indirect method.KIMBERLINE INDUSTRIESIncome StatementFor Year Ended December 31Sales? $280,000Cost of goods sold? 124,000Gross profit from sales? $156,000Operating expenses:?? Salaries and wages expense $35,000? Depreciation expense 11,000? Rent expense 27,200? Interest expense 3,900 77,100Income from operations? $78,900Loss on sale of land? 4,700Net income? $74,200Increases and decreases of current asset and current liability accounts, all of which relate to operating activities, are as
follows:? ChangeAccounts receivable increase $3,600Merchandise inventory decrease 1,700Accounts payable increase 1,100Salaries and wages payable decrease 2,600
What will be an ideal response?
Cash flows from operating activities
| Net Income | $ 74,200 |
cash provided by operating activities
| Depreciation expense | 11,000 |
| Loss on sale of land | 4,700 |
| Increase in accounts receivable | (3,600) |
| Decrease in merchandise inventory | 1,700 |
| Increase in accounts payable | 1,100 |
| Decrease in salaries and wages payable | (2,600) |
| Net cash provided by operating activities | $ 86,500 |
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