Reliance Corporation has provided the following information for the year ended December 31, 2019: The equipment account balance increased $223,000. The equipment accumulated depreciation account balance increased $37,300. Equipment costing $54,600 was sold during the year resulting in a $13,450 gain. Depreciation expense recorded on the equipment during the year was $67,300. Which of the following statements is correct with respect to determining cash flow from operating activities? a. Using the indirect method, net income is decreased by the $30,000 sales price of the equipment.
b. Using the indirect method, net income is increased by the $66,800 depreciation expense.
c. Using the indirect method, net income is increased by the $12,700 gain on the sale of the equipment.
d. Using the indirect method, net income is increased by the $36,800increase in the accumulated depreciation account balance.