Question 4
The income statement of Whitlock Company is presented here.
	WHITLOCK COMPANY
	Income Statement
	For the Year Ended March 31, 2022
	Sales revenue			$7,700,000
	Cost of goods sold
	Beginning inventory	$1,900,000
	Purchases		4,400,000
	Goods available for sale	6,300,000
	Ending inventory	1,400,000
	Total cost of goods sold		4,900,000
	Gross profit			2,800,000
	Operating expenses		1,150,000
	Net income			1,650,000
Additional information:
1.	Accounts receivable increased $200,000 during the year, and inventory decreased $500,000.
2.	Prepaid expenses increased $150,000 during the year.
3.	Accounts payable to suppliers of merchandise decreased $340,000 during the year.
4.	Accrued expenses payable decreased $100,000 during the year.
5.	Operating expenses include depreciation expense of $70,000.
Instructions
Prepare the operating activities section of the statement of cash flows for the year ended March 31, 2022,
for Whitlock Company, using the indirect method.