21. GJ Company, a manufacturer, has provided the following information pertaining to its recent year of operation: • Net income, $500,000 • Accounts payable decreased $42,000 • Prepaid assets increased $31,000 • Depreciation expense was $53,000 • Accounts receivable decreased $41,000 • Loss on sale of a depreciable asset was $31,000 • Wages payable increased $19,000 • Unearned revenue decreased $31,000 • Patent amortization expense was $5,000 Using the indirect method, how much was GJ's net cash provided by operating activities? $545,000 $607,000 $514,000 $463,000

$545,000

Explanation:

Using the indirect method of formatting the Cash flow statement, the cash from operating activity is:

= Net income + Depreciation + Loss on sale of depreciable asset  + Patent amortization expense + Accounts receivable decrease +  Wages payable increased - Accounts payable decrease - Prepaid assets increased - Unearned revenue decrease

= 500,000 + 53,000 + 31,000 + 5,000 + 41,000 + 19,000 - 42,000 - 31,000 - 31,000

= $545,000

answer; ( prices are sticky);

1   all nations face the problem of scarcity because there are limited resources and unlimited wants. nations do not have enough factors of production to produce everything that their population wants. entrepreneurial resources initiate businesses to make new goods and services; labor resources produce goods and services.

2 there are four factors of production: natural resources, labor resources, capital resources, and entrepreneurial resources. natural resources are raw materials from nature that are used to produce goods. trees, water, and grains are natural resources. some natural resources, such as wheat and cattle, are renewable

3 wants

things that you do not need to have in order to survive, but would like to have

needs

things that you must have in order to survive

goods

physical products

services

tasks that a business perform for customers

resources

items that people can use to make or obtain what they need or want

determine

to settle or decide by choice of alternatives or possiblities

4 i really dont know