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Ross Company, Inc. prepared the tabulation below at December 31, 2010.
NetIncome......................................................................................        $275,000
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation expense, $25,000.
Decrease in accounts receivable, $55,000.
Increase in inventory, $12,000
Decrease in accounts payable, $6,600.
Increase in income taxes payable, $1,500
Loss on sale of land, $5,000.
Gain on sale of building $25,500
Decrease in dividends payable, $6,000.
Solution
275+25+5-25.5+6.6+1.5-6+5-7+12=291600
Ross Company- Inc- prepared the tabulation below at December 31- 2010-.docx

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Ross Company- Inc- prepared the tabulation below at December 31- 2010-.docx

  • 1. Ross Company, Inc. prepared the tabulation below at December 31, 2010. NetIncome......................................................................................        $275,000 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation expense, $25,000. Decrease in accounts receivable, $55,000. Increase in inventory, $12,000 Decrease in accounts payable, $6,600. Increase in income taxes payable, $1,500 Loss on sale of land, $5,000. Gain on sale of building $25,500 Decrease in dividends payable, $6,000. Solution 275+25+5-25.5+6.6+1.5-6+5-7+12=291600