The comparative statement of financial position for Baird Corporation shows the following noncash current asset and liability accounts at March 31:

Baird's income statement reported the following selected information for the year ended March 31, 2012: sales were $850,000, cost of goods sold was $475,000, operating expenses were $230,000 (which included depreciation expense of $20,000), interest expense was $50,000, and income tax expense was $15,000. Calculate net cash provided (used) by operating activities using the direct method.

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Accounts receivable Merchandise inventory Prepaid expenses Accounts payable Interest payable Income tax payable 2012 $60,000 64,000 6,000 35,000 4,000 10,000 2011 $40,000 70,000 4,000 40,000 5,000 5,000