172. Rowan, Inc.'s, income statement is shown below. Based on this income statement and the other information provided, calculate the net cash provided by operations using the indirect method.
Rowan, Inc.
Income Statement
For Year Ended December 31, 2015
Sales............................
$248,000
Cost of goods sold...................
116,000
Gross profit.......................
$132,000
Operating expenses
Wages and salaries expense...........
$ 44,000
Rent expense.....................
16,000
Depreciation expense...............
30,000
Other operating expenses............
18,000
108,000
Income from operations...............
$ 24,000
Gain on sale of equipment.............
26,000
Income before income taxes............
$ 50,000
Income taxes expense................
17,500
Net income.......................
$ 32,500
Additional information:
Increase in accounts receivable..........
$ 4,000
Increase in accounts payable............
Increase in income taxes payable.........
300
Decrease in prepaid expenses...........
10,000
Decrease in merchandise inventory.......
14,000
Decrease in long-term notes payable......
20,000
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