Cash flows from operating activities – indirect method
Salem Inc. reported the following data:
| Net income | $168,750 |
| Depreciation expenses | 18,750 |
| Gain on disposal of equipment | 15,375 |
| Decrease in accounts receivable | 10,500 |
| Decrease in accounts payable | 2,700 |
Prepare the Cash Flows from operating Activities section of the statement of cash flows using the indirect method.
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