S Company reported net income for 2021 in the amount of $460,000. The company's financial statements also included the following: Increase in accounts receivable $ 83,000 Decrease in inventory 66,000 Increase in accounts payable 270,000 Depreciation expense 101,000 Gain on sale of land 142,000 What is net cash provided by operating activities under the indirect method

$672,000

Explanation:

Net income

$460,000

Less:

Increase in accounts receivable

($83,000)

Add:

Decrease in inventory

$66,000

Add:

Increase in accounts payable

$270,000

Add:

Depreciation expense

$101,000

Less:

Gain on sale of land

($142,000)

Net cash

$672,000

Therefore, the net cash provided by operating activities under the indirect method is $672,000

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