Krauss company's income statement for the year ended december 31, 2017, contained the following condensed information.
service revenue $845,540
operating expenses (excluding depreciation). $625,700
depreciation expense 57,390
loss on sale of equipment 29,170 712,260
income before income taxes 133,280
income tax expense 40,190
net income $93,090
krauss's balance sheet contained the following comparative data at december 31.
2017 2016
accounts receivable $36,010 $59,510
accounts payable 45,780 31,020
income taxes payable 4,070 8,680
(accounts payable pertains to operating expenses.)
using the direct method, what is the net cash provided by operating activities?

Net Cash provided by Operating Activities 146,000

Explanation:

using the income statement values and the balance sheet beginning and ending we can solve for the cash collection and disbursements:

beginning

+ net income figure:

total amount to collect/pay

less ending

actually paid/collected

collected from customer:

36,010 + 845,540 - 59,510 = 822,040

payment of expenses:

45,780 + 625,700 - 31,020 = 640,460‬

tax paid:

4,070 + 40,190 - 8,680 =         35,580‬

cash from operation

822,040 - 640,460 - 35,580 = 146,000

a is the correct answer, tell me if im right

income statement is prepared in order to show the profits and loss of a business. in order to prepare the income statement she should collect all the income and expenses of the product with the cost of production.