Alford Company and its 80 percent–owned subsidiary, Knight, have the following income st...

Alford Company and its 80 percent–owned subsidiary, Knight, have the following income statements for 2011:

Additional Information for 2011

• Intra-entity inventory transfers during the year amounted to $90,000 and were downstream from Alford to Knight.

• Unrealized inventory gains at January 1 were $6,000, but at December 31, they are $9,000.

• Annual excess amortization expense resulting from the acquisition is $11,000.

• Knight paid dividends totaling $20,000.

• The noncontrolling interest’s share of the subsidiary’s income is $9,800.

• During the year, consolidated inventory rose by $11,000 while accounts receivable and accounts payable declined by $8,000 and $6,000, respectively.

Using either the direct or the indirect approach, determine the amount of cash generated from operations during the period by this business combination.