Refer to the information about Sonad Company in Exercise 12-4. Use the direct method to prepare only the cash provided or used by operating activities section of the statement of cash flows for this company.
In Exercise 12-4
The following income statement and information about changes in noncash current assets and current liabilities are reported.

Changes in current asset and current liability accounts for the year that relate to operations follow.
Accounts receivable . . . . . . . . . . $30,500 increase
Inventory . . . . . . . . . . . . . . . . . . . 25,000 increase
Accounts payable . . . . . . . . . . . $12,500 decrease
Salaries payable . . . . . . . . . . . . . . 3,500 decrease

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SONAD COMPANY Income Statement For Year Ended December 31,2015 Sales Cost of goods sold Gross profit Operating expenses $1,828,000 991,000 837,000 $245,535 44,200 49,600 4,200 Salaries expense reciation expense Rent expense Amortization expenses-Patents Utilities expense 18,125 361.660 475,340 6,200 $ 481,540 Gain on sale of equipment Net income