Tinker Company reported sales revenue of $500,000 and total expenses of $450,000 (including depreciation) for the year ended December 31, 2010. During 2010, accounts receivable decreased by $5,000, merchandise inventory increased by $4,000, accounts payable increased by $6,000, and depreciation expense of $10,000 was recorded. Assuming no other data is needed and using the indirect method, the net cash inflow from operating activities for 2010 was:

Net Cash inflow from operating activities$67,000

Explanation:

The computation of the net cash flow from operating activities is shown below:

Net Income ($500,000 - $450,000)$50,000

Add: Depreciation$10,000

Add: Decrease in account receivable$5,000

Less: Increase in inventory($4,000)

Add: Increase in account payable$6,000

Net Cash inflow from operating activities$67,000

it was decent, could have been a little better.. how bout you lol.

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