Deferred Taxes and Operating Cash Flow
The company assembled the following information with respect to operating cash flow for the year:
|
Net income |
$10,000 |
|
Depreciation |
2,000 |
|
Increase in accounts receivable |
1,200 |
|
Decrease in inventory |
850 |
|
Decrease in accounts payable |
300 |
|
Increase in income taxes payable |
40 |
|
Increase in deferred tax liability |
1,430 |
Compute cash flow from operating activities.