Hardware Suppliers reports net income of $155,000. Included in net income is a gain on the sale of land of $15,000. A comparison of this yearʼs and last yearʼs balance sheets reveals an increase in accounts receivable of $25,000, an increase in inventory of $15,000, and a decrease in accounts payable of $45,000.Prepare the operating activities section of the statement of cash flows using the indirect method. Do you see a pattern in Hardware Suppliers’ adjustments to net income to arrive at operating cash flows? What might this imply?

Asmall town wants to build some new recreational facilities. the proposed facilities include a swimming pool, recreation center, basketball court and baseball field. the town council wants to provide the facilities which will be used by the most people, but they face budget and land limitations. the town has $400,000 and 14 acres of land. the pool requires locker facilities which would be in the recreation center, so if the swimming pool is built the recreation center must also be built. also, the council has only enough flat land to build the basketball court or the baseball field. the daily usage and cost of the facilities (in $1,000) are shown below. which facilities should they build? facilityusagecost ($1,000)landswimming pool4001002recreation center5002003basketball court3001504baseball field2001005