Given the following selected information on Cicalese’s Chocolate,

Given the following selected information on Cicalese’s Chocolate,
Inc., calculate Cash Flow from Operating Activities for 2001.
EAT 600,000 730,000
Depreciation Exp. 100,000 150,000
Dividends 400,000 550,000
Accounts Receivable 1,500,000 2,000,000
Inventory 3,500,000 2,000,000
Accts. Payable/Accr. 350,000 500,000
Long-Term Debt 2,300,000 3,000,000
Common Stock 2,200,000 2,500,000
Retained Earnings 6,150,000 6,350,000

I used the formula EAT + Depreciation +A/R + Inventory + AP accruals but I am not reaching to the correct answer 2,030,000

I calculated the following adjustment and add them up

Depreciation and amortization……………………………………….150,000
Increase in Acc. receivables (2,000,000 – 1,500,000)………….500,000
Decrease in inventories (3,500,000 – 2,000,000)………………….-1,500,000
Increase in Acc payable’s (500,000 – 350,000)………………….150,000 I added (150,000+500,000+1,500,000+150,000)=2,300,000 then I added EAT 730,000 =3,030,000

Would you please let me know where is my mistake that not resulted in 2,030,000

Thanks,

Looking for a Similar Assignment? Order now and Get 10% Discount! Use Coupon Code "Newclient"