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.