a. Bracewell Company reported net income of $193,980 for 2014. Bracewell also reported depreciation expense of $45,100 and a gain of $4,930 on disposal of plant assets. The comparative balance sheet shows an increase in accounts receivable of $18,840 for the year, a $20,980 increase in accounts payable, and a $3,500 decrease in prepaid expenses.
Prepare the operating activities section of the statement of cash flows for 2014. Use the indirect method. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)