Lino Co.’s worksheet for the preparation of its 2006 statement of cash flows included the following:

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December 31

January 1

Accounts receivable

$29,000

$23,000

Allowance for uncollectible accounts

1,000

800

Prepaid rent expense

8,200

12,400

Accounts payable

22,400

19,400

Lino’s 2006 net income is $150,000. What amount should Lino include as net cash provided by operating activities in the statement of cash flows?

  1. $151,400
  2. $151,000
  3. $148,600
  4. $145,400