Dorman Company reported the following data: net income 225,000
depreciation expense 25,000
gain on disposal of equipment 20,500
decrease in accounts receivable 14,000
decrease in account payable 3,600
prepare cash flows from operating actvities section of the statment of cash flows using the indirect method

$239,900

Explanation:

Preparation of the cash flows from operating actvities section of the statment of cash flows using the indirect method

Net cash flow from operating actvities:

Net income $225,000

Adjustment:

Add Depreciation expense $25,000

Less Gain on disposal of equipment ($20,500)

Add Decrease in accounts receivable $14,000

Less Decrease in account payable ($3,600)

Net cash flow from operating actvities $239,900

Therefore the cash flows from operating actvities section of the statment of cash flows using the indirect method is $239,900

$2.00 for three shots.