The following information is taken from the 2011 general ledger of Kersenbrock Company.

Instructions
In each case, compute the amount that should be reported in the operating activities section of the statement of cash flows under the directmethod.

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Rent Rent expense Prepaid rent, January 1 Prepaid rent, December 31 Salaries expense Salaries payable, January 1 Salaries payable, December 31 Revenue from sales Accounts receivable, January 1 Accounts S 40,000 5,900 9,000 54,000 10,000 8,000 $170,000 16,000 7,000 Salaries Sales receivable, December 31