Sage Corporation’s comparative balance sheet for current assets and liabilities was as follows:
|
|
Dec. 31, 2008 |
Dec. 31, 2007 |
|
Accounts receivable |
$12,000 |
$14,000 |
|
Inventory |
9,000 |
6,500 |
|
Accounts payable |
8,500 |
7,200 |
|
Dividends payable |
24,000 |
26,000 |
Adjust net income of $110,000 for changes in operating assets and liabilities to arrive at cash flows from operating activities.