At the End of the First Year of Operations,the Balance

Multiple Choice

At the end of the first year of operations,the balance sheet of Huntington Beach Co.Industries had the following balances: Accounts Receivable,$5,000;Accounts Payable,$6,000;Inventory,$3,000;and Unexpired Insurance,$2,000.The corporation reported net income of $79,000 for the year,including depreciation expense of $5,000,and uses the indirect method of computing net cash flow from operating activities.Based on this information,net cash flow from operating activities is

A) $82,000.
B) $78,000.
C) $70,000.
D) $77,000.