Zaire Company had a $26,000 net loss from operations. Depreciation expense for the year was $9,600, and a dividend of $2,000 was declared and paid. The balances of the current asset and current liability accounts at the beginning and end of the year are as follows:
Did Zaire Company’s operating activities provide or use cash? Use the indirect method to determine your answer.
Use negative signs with cash outflow answers and to indicate operating activities used cash, if applicable.