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The current assets and liabilities sections of the comparative balance sheet of Sunland Inc., a private...

The current assets and liabilities sections of the comparative balance sheet of Sunland Inc., a private company reporting under ASPE, at October 31 are presented below, along with the income statement:

SUNLAND INC.
Comparative Balance Sheet Accounts
2021 2020
Cash $59,400 $63,000
Accounts receivable 38,400 24,600
Inventory 19,500 27,600
Prepaid expenses 4,500 3,480
Accounts payable 25,800 21,600
Accrued expenses payable 3,000 4,800
Dividends payable 14,400 10,200
Income taxes payable 4,080 7,080
SUNLAND INC.
Income Statement
Year Ended October 31, 2021
Sales $375,000
Cost of goods sold 234,000
Gross profit 141,000
Operating expenses $52,800
Depreciation expense 13,800
Loss on sale of equipment 4,800 71,400
Profit before income taxes 69,600
Income taxes 17,400
Profit $52,200

Prepare the operating activities section of the cash flow statement using the indirect method

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Answer is given below using indirect method

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