The section on cash from operating activities in the statement of cash flows for Marismo Services contained the following information:Operating Activities
Net income ..............$260,000
Depreciation ...............$15,000
Changes in current assets and liabilities
Accounts receivable ............$16,000
Inventories ..............$17,000
Other current assets ............$8,200
Accounts payable ............$13,000
Short-term notes payable ..........$7,000
Income taxes payable............$8,000
Other current liabilities ..........$5,000
Net cash provided by operating activities ...$301,200
Required:
For each of the current asset and liability accounts indicated in the operating portion of the statement of cash flows, determine whether the account increased or decreased during the year.