Morgan Company”s net income last year was $73,000 and cash dividends declared and paid to the company”s stockholders totaled $14,000. Changes in selected balance sheet accounts for the year appear below:

 

Increases

 

(Decreases)

Debit balances:

 

Accounts receivable

$10,000

Prepaid expenses

$(3,000)

Credit balances:

 

Accumulated depreciation

$16,000

Accounts payable

$(4,000)

Bonds payable

$80,000

Based solely on this information, the net cash provided by operations under the indirect method on the statement of cash flows would be:

A) $89,000

B) $78,000

C) $68,000

D) $154,000