Cinno Company Reported Net Income of $20,000 for the Year

Multiple Choice

Cinno Company reported net income of $20,000 for the year ended December 31, 2011. During the year, inventories decreased by $7,000, accounts payable decreased by $8,000, depreciation expense was $10,000, and accounts receivable increased by $6,500. Net cash provided by operations in 2011, computed using the indirect method, was:

A) $10,500.
B) $22,500.
C) $38,500.
D) $51,500.