In preparing a company's statement of cash flows for the most recent year using the indirect method, the following information is available:
net income for the year was $ 74,000
accounts payable decreased by 29,000
accounts receivable increased by 36,000
inventories increased by 16,000
depreciation expense was 52,000

net cash provided by operating activities was:
(a) $71,000.
(b) $45,000.
(c) $135,000.
(d) $103,000.
(e) $74,000.

(B) $45,000.

Explanation:

The preparation of the Cash Flows from Operating Activities—Indirect Method is shown below:

Cash flow from Operating activities - Indirect method

Net income $74,000

Adjustment made:

Add : Depreciation expense $52,000

Less: Increase in accounts receivable -$36,000

Less: Increase in inventory -$16,000

Less: Decrease in accounts payable -$29,000

Total of Adjustments -$29,000

Net Cash flow from Operating activities              $45,000

im thinking a but im not 100% sure

explanation:

answerreactive approach;